Thursday, December 12, 2024
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US removes India from currency watch list

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Washington/New Delhi, Nov 11: The US has removed India from a list of trading partner countries it monitors for foreign exchange of macroeconomics policies.

The development came as US Treasury Secretary Janet Yellen is visiting India.

The US Treasury Department told the Congress in a report submitted on Thursday that it has removed India, Italy, Mexico, Thailand, and Vietnam from the “Monitoring List” because they met with only one of the three criteria needed for designation in two consecutive reports.

Countries that stayed on the list were China, Japan, South Korea, Germany, Malaysia, Singapore, and Taiwan.

“The global economy was already dealing with supply and demand imbalances caused by Covid-19 prior to Russia’s illegal war against Ukraine, which has increased food, fertiliser, and energy prices – further elevating global inflation and increasing food insecurity. Major economies facing different stresses may accordingly pursue different policies, which can be reflected in currency movements. Treasury is cognizant that a range of approaches by developing and emerging economies to global economic headwinds may be warranted in certain circumstances,” Secretary of the Treasury Yellen said in a statement announcing the release of the report.

IANS

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