Rupee slid further after passage of food security bill: TMC

Alleging that people's confidence has been shaken due to the economic mismanagement by the UPA government, a Trinamool Congress MP on Wednesday said it was worrisome that the rupee slid further after passage of the food security bill.

"What is very worrisome is that in the last two days since the food security bill was passed, the rupee has fallen by five points. This is triggered by fears of mounting fiscal deficit which will now increase cost of all imports," TMC MP Saugata Roy told PTI.

"Falling of the rupee is a matter of grave concern. In fact in one and half years from February, 2012, it has fallen by 20 points to 68," the TMC leader said.

Roy said even though there might be other external factors, there have been domestic policy failures by the government.

"Central government which has been in power for nine years with the same Prime Minister cannot deny its responsibilities," the former union minister said.

He said that on Tuesday the matter was discussed in the Lok Sabha, but the finance minister did not enunciate an immediate solution to diffuse the crisis.

"He has enunciated ten steps, but which are all long term...I feel some drastic steps have to be taken to prevent the rapid fall of the rupee," he said.