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Sensex slide: RBI Governor assures markets

by IBNS 24 Aug 2015, 06:49 am

Mumbai, Aug 24 (IBNS) As sensex plummeted to a two-year low figure, Reserve Bank of India governor Raghuram Rajan on Monday assured the markets, taken by a cropped up panic, that the country is in a much better position than many others with its strong macroeconomic fundamentals, reports said.

"I wish to reassure the markets that our macroeconomic factors are under control as the economy is in a much better position relative many other economies," he  told the national banking summit organised by the IBA and Ficci in Mumbai.

Rajan said the country has $380 billion in forex reserves to be used as and when the need arises.

The Indian market opened in the red with the Sensex starting the day more than 900 points below on Monday.

By around noon, it crashed 1,150 points to 26,212,  while the 50-share Nifty slipped below the crucial 8,000 levels for the first time in two months. 

The rupee has weakened from 64 per dollar to nearly 66.52, a fall of nearly 4 per cent since August 11 when China announced the devaluation of its yuan currency.