A strong Rupee makes imports cheaper and exports more expensive, potentially leading to a trade deficit. Conversely, a weak Rupee makes exports cheaper and imports more expensive, which can help boost exports but may also increase inflation.

Global economic conditions significantly influence the Rupee's value. Factors such as global recession, changes in international trade policies, and fluctuations in commodity prices can impact the demand and supply of the Rupee, thereby affecting its exchange rate.

The RBI should aim to maintain stability in the Rupee's exchange rate to foster sustainable economic growth. While allowing market forces to primarily determine the value, the RBI should intervene strategically to prevent excessive volatility that could disrupt trade and investment flows. The interventions should be data-driven and transparent to maintain market confidence.

A strong Rupee makes imports cheaper and exports more expensive, potentially leading to a trade deficit. Conversely, a weak Rupee makes exports cheaper and imports more expensive, which can help boost exports but may also increase inflation.

Global economic conditions significantly influence the Rupee's value. Factors such as global recession, changes in international trade policies, and fluctuations in commodity prices can impact the demand and supply of the Rupee, thereby affecting its exchange rate.

The RBI should aim to maintain stability in the Rupee's exchange rate to foster sustainable economic growth. While allowing market forces to primarily determine the value, the RBI should intervene strategically to prevent excessive volatility that could disrupt trade and investment flows. The interventions should be data-driven and transparent to maintain market confidence.