PM has no words now on rupee depreciation but let us remind him about 2013: Jairam Ramesh
New Delhi, Dec 30: The Congress on Monday attacked the government over depreciation in the value of the rupee against the US dollar and said Prime Minister Narendra Modi has nothing to say now even though he had resorted to personal attacks against former prime minister Manmohan Singh when the Indian currency had fallen during the UPA term.
AICC general secretary, communications, Jairam Ramesh also recalled the words of Modi in 2013 when he had claimed that UPA leadership has become directionless and are neither worried about the country's defence nor the value of its currency, but are "only worried about saving their chair".
"The then-biological CM of Gujarat had run a loud campaign against the depreciation of the rupee vis-a-vis the dollar in 2014 even resorting to personal attacks on Prime Minister Manmohan Singh to score political points. On 16 May, 2014, the rupee closed at Rs 58.58 per USD.
"Ten years later, the rupee has touched an all time-low of 85.27 per USD. The INR has achieved the distinction of being the worst-performing currency in Asia," the Congress general secretary said in a post on X.
"Remember all of this depreciation is despite the Government and RBI's de facto currency peg - as the Prime Minister's former Chief Economic Advisor has pointed out in recent weeks. The RBI has used billions of dollars of our foreign exchange reserves to stabilise the rupee, to no effect. How many billions have been used?" Ramesh asked.
"The non-biological Prime Minister has no words now but let us remind him of his words from 2013 - 'Crises come, but if during a crisis if the leadership is directionless, hopeless, then the crisis becomes very grave… It is our country’s misfortune that the rulers in Delhi are neither worried about the country’s defence nor about the falling value of the rupee…If they are worried, it is only about saving their chair'," the Congress leader said in his post.
The rupee dropped 4 paise to 85.52 (provisional) against the US dollar in early trade on Monday, as dollar demand from importers, foreign fund outflows and a muted trend in domestic equities dented investor sentiments.
Forex traders said the rupee witnessed heavy volatility on Friday as well on Monday amid significant dollar demand linked to the expiry of December currency futures and maturing positions in the outstanding forwards.
On Friday, the rupee registered the steepest fall in almost two years to hit its lifetime intra-day low of 85.80 before a likely central bank intervention helped recover some of its losses and settled 21 paise lower at a record low of 85.48 against the US dollar.
The then-biological CM of Gujarat had run a loud campaign against the depreciation of the rupee vis-a-vis the dollar in 2014, even resorting to personal attacks on Prime Minister Manmohan Singh to score political points. On 16 May, 2014, the rupee closed at Rs 58.58 per USD. Ten…
— Jairam Ramesh (@Jairam_Ramesh) December 30, 2024
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Trump says EU has until July 4 to approve last year's trade deal or it will face higher tariffs
Washington (AP): President Donald Trump has said in a social media post that goods from the European Union would face higher tariff rates if the 27-member bloc fails to approve last year's trade framework by July 4.
The announcement on Thursday appeared to be a deadline extension after the president said last Friday that EU autos would face a higher 25 per cent tariff starting this week. Trump made the updated announcement after what he described as a "great call" with European Commission President Ursula von der Leyen.
Still, the US president was displeased that the European Parliament had yet to finalize the trade arrangement reached last year, which was further complicated in February by the US Supreme Court ruling that Trump lacked the legal authority to declare an economic emergency to impose the initial tariffs used to pressure the EU into talks.
"A promise was made that the EU would deliver their side of the Deal and, as per Agreement, cut their Tariffs to ZERO!" Trump posted. "I agreed to give her until our Country's 250th Birthday or, unfortunately, their Tariffs would immediately jump to much higher levels."
It was unclear from the post whether Trump was implying that the tariff rates would jump on all EU goods or the increase would only apply to autos.
His latest statement indicates he might be backing away from his earlier threat on EU autos by giving the European Parliament several more weeks to approve the agreement.
Under the original terms of the framework, the US would charge a 15 per cent tax on most goods imported from the EU.
But since the Supreme Court ruling, the administration has levied a 10 per cent tariff while investigating trade imbalances and national security issues, aiming to put in new tariffs to make up for lost revenues.
