Articles
Internalization of Indian rupee
Mikhail Zharikov
Vostok/Oriens '2016, №3
The goal of this article is to find out the basic directions of the rupee’s internationalization in the early twenty first century. Based on the analysis of Indian foreign trade, the author hypothesizes that there exists a special commercial exchange rate of the rupee which may become an instrument of its wider internationalization. The article also reveals an intertwined nature of the rupee’s commercial exchange rate – separately for exports and imports. Further, a method of calculating these exchange rates is proposed. In this article the author makes calculations of the direct trade’s efficiency of India with several countries using the rupee’s commercial exchange rate. Russian exporters to India should take into account the existence of different exchange rates of the rupee, for as the one exceeding the other gives them a competitive advantage when entering the Indian market.
Keywords: currency internationalization, Indian rupee, commercial exchange rate, direct trade, BRICS
Pages: С. 138–151
