The rupee was depreciated to Rs. 113.90 on Tuesday after the 2012 Budget announced a 3 percent deprecation of the rupee which surprised everybody and tore the Central Bank’s credibility to shreds after it steadfastly maintained that the rupee would appreciate towards the end of this year.
Ministry of Finance and Planning Department of Public Enterprises Director General S. R. Attygalle told journalists on Wednesday that the rupee was depreciated at the right amount at the right time.
"It was a decision taken by the Minister of Finance (the President) so Central Bank credibility is not an issue. An exchange rate of 114 and 115 may not be bad if it uplifts our export sector and import substitution industries," he said.http://island.lk/index.php?page_cat=article-details&page=article-details&code_title=39725