India moves to stop rupee fall

City A.M. Reporter
THE RUPEE strengthened yesterday after the Reserve Bank of India (RBI) took measures to halt a sharp drop in its currency.

The RBI raised short-term borrowing costs, restricted funds available to banks and said it would sell 120bn rupees (£1.32bn) in bonds, effectively draining cash from the market.

The rupee strengthened to 59.32 per dollar last night, down from around 59.90. Last week, it fell to a record low of 61.21.