A meeting with Raghuram, Montek Singh: Chidambaram's advice to PM on rupee fall

New Delhi, Oct 21: Former Finance Minister P Chidambaram has advised Prime Minister Narendra Modi to have a closed-door meeting with a group of eminent professional including former RBI governor Raghuram Rajan over the continuous fall of the Indian Rupee.

P Chidambaram said the government seems "helpless against the relentless decline" in the value of the Rupee. He said the declining Rupee has consequences for inflation, current account deficit and interest rates.

"At this moment, the government needs all the wisdom and experience available in the country. I have suggested a group of eminent professionals who have the interest of the country at heart," he said on Twitter.

"My advice to the prime minister is he should immediately call a closed-door meeting of Dr C Rangarajan, Dr Y V Reddy, Dr Rakesh Mohan, Dr Raghuram Rajan and Mr Montek Singh Ahluwalia to consider the next steps that the government may take. Obviously, the FM and the Governor, RBI should be present," Mr Chidambaram suggested in another tweet.

The Rupee depreciated 6 paise to a record low of 83.06 against the US dollar in opening trade on Thursday due to a stronger greenback overseas and unrelenting foreign fund outflows.

The Congress has also come down heavily on the Narendra Modi government over the fall of the Indian Rupee while accusing it of always being in electioneering mode and having no focus on economic issues.

The grand old party said that mere statements will not work and also suggested that Prime Minister Modi convenes an immediate meeting with experts to take remedial measures in this matter.

The Congress' president-elect Mallikarjun Kharge said the rupee again reached a record low of Rs 83 against the dollar, noting that it can prove to be "very dangerous" for India's economy.

"The (Union) finance minister said that the rupee is not weakening, the dollar is getting stronger. Mere statements will not work, the central government will have to take concrete steps soon," Mr Kharge said in a tweet in Hindi.