India has no plans to curb capital outflows: adviser
Foreign institutional investors (FIIs) have sold more than $2.2 billion worth of Indian shares in August, and the partially convertible rupee last Friday touched 49.90 per dollar, its weakest level since mid-May 2009.
"I do not think we have anything to suggest to us any such thing," Dipak Dasgupta, principal economic adviser to the ministry of finance told Reuters when asked about the possibility of India imposing curbs on capital outflows.
"Instead of trying to restrict the outflow, it is quite the opposite. In fact, what we are trying to do, as you have seen in the ECB (external commercial borrowing) regulation changes, is actually to make it a little more comfortable yet prudent to get inflows of capital to come to India."