The effect of FCNR deposit withdrawal on exchange rate and its implication on an EXIM business

Abstract

Multinational corporations and investors are constantly looking to invest in a globally open economy for the best returns. This entails keeping a close tab on the foreign exchange market. The international monetary system in this context, is defined as the institutional framework within which international payments are made, movement of capital are accommodated, and exchange rates among currencies are determined. This system has gone through several evolutionary changes over the last few decades.