ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Need for Restraints on Inflows

In the context of the damage that unmitigated unproductive inflows are inflicting on the domestic liquidity and exchange rate management stances, placing some moderating influence on such inflows may not be unrealistic and it may not even contradict the overall policy of external sector liberalisation. The surplus on current account as well as productive investment flows through FDI are to be welcomed irrespective of their size, for they are reflective of many healthy macroeconomic features of the economy.

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