I understand that last week Bloomberg commented that the rupee appreciated by 2% vis à vis the dollar, in spite of our “Theatre de Boulevard”. The Bank also acted as lender of last resort in foreign exchange at about this time last year when trade credit lines dried up. I am sure the grand daddy of central banking, Bagehot, would have approved.
Based on the methodology outlined in Cera, K. (2022), “Measuring marketbased and non-bank financing of non-financial corporations in the euro area”, Box 2 in ECB Committee on Financial Integration (2022), “Financial Integration and Structure in the Euro Area”, April. 6. Behn, M, Rancoita, E. and Rodriguez d’Acri, C. (2020), “Macroprudential capital buffers – objectives and usability”, Macroprudential Bulletin, ECB, No 11, 19 October. 7.