RBI panel suggests measures for internationalisation of rupee; inclusion of INR in IMF’s SDR

A Reserve Bank of India-appointed working group on Wednesday recommended various measures, including inclusion of the rupee in the Special Drawing Rights (SDR) basket and recalibration of the foreign portfolio investor (FPI) regime to accelerate the pace of internationalisation of the rupee.

The recommendations by an Inter-Departmental Group (IDG), headed by RBI Executive Director Radha Shyam Ratho, were placed on the RBI website.

The group was constituted by RBI Deputy Governor T Rabi Sankar to review the position of the rupee as an international currency and to frame a road map for the internationalisation of the domestic currency.

Internationalisation of the rupee is a process that involves increasing use of the local currency in cross-border transactions.