Second, the forex market came under pressure because of reversal of capital flows as part of the global deleveraging process. Simultaneously, corporates were converting the funds raised locally into foreign currency to meet their external obligations. Both these factors put downward pressure on the rupee.
BIS Review 157/2010  5  If there are lessons for high-growing emerging economies to learn from Japan’s experience, which might help them avoid a bubble, these can be summarized in the following three points. First, society, as a whole, needs to maintain a sense of discipline in order to avoid overconfidence, particularly in times of high growth.