Rajan says rupee gains to 45-50 per dollar would hit exports

Mumbai: India's Central Bank Governor, Raghuram Rajan said that substantial strengthening in the rupee to 45 or 50 per dollar could hit exports. He even stated 'The Reserve Bank of India was fine with a certain amount of leeway in the currency.'

Rajan also said during a CNBC-TV 18 interview that the RBI does not want to declare victory on inflation yet, despite keeping interest rates on hold on Tuesday as widely expected.The RBI would rethink its stance if there is a "substantial" change of inflation, up or down.