Rules out intervention in forex markets

“This (rupee fall) is the market development. The situation of currency market determined it. There is no policy position in terms of intervening into preventing movement of rupee,” RBI Deputy Governor Subir Gokarn said.

Gokarn said the central bank’s concern is only managing the liquidity position in the system. “The only concern is obviously with liquidity. We do not want the market to be disrupted by constraints of liquidity,” he said.