Devaluation of rupee not on cards: Official

Denying reports of the government mulling devaluation of the rupee, sources in the Finance Ministry here on Thursday asserted that lowering of the value of the Indian currency was not on the cards.

"India is not considering devaluation of the rupee. There is no truth in the reports," a source in the ministry told IANS.

The Indian rupee had weakened after a media report claimed that the Commerce Ministry planned to propose a round of rupee devaluation to shore up dwindling exports.

However, the Indian rupee pared its losses after the government denied any plans of devaluation.

Currency market observers pointed out that intervention by the country's central bank might have also resulted in rupee paring its earlier losses.

The news report on the proposed devaluation had dragged the Indian rupee to 67.07 against a US dollar.

--IANS

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