RBI constitutes task force on offshore rupee market to address woes

The task force will submit its report by June- end.

The Reserve Bank of India (RBI) on Thursday constituted the task force on offshore rupee market, which will, among other measures, examine why the offshore markets have been created and how to address concerns arising out of it. 

The task force, to be headed by former deputy governor of RBI Usha Thorat, will examine the causes behind the development of the offshore rupee market, study the effects of the offshore markets on the rupee exchange rate and market liquidity in the domestic market, and “recommend measures to address concerns, if any, arising out of offshore rupee trading”.

The task force will propose