From tax waivers to free hedges, RBI & govt join hands to boost Rupee

Key points

• Government and RBI have launched new measures to attract foreign investment in bonds and bank deposits.
• These initiatives aim to boost inflows by easing regulations and offering currency protection.
• The rupee strengthened significantly following the announcements, with potential for substantial retail deposit growth.
• Tax exemptions for foreign investors on government securities are also in place.