‘NDF trades hold sway over rupee, but RBI steps may limit impact’

Mumbai: The Non-Deliverable Forwards (NDF) market has held centre-stage in the Indian currency market, especially during times of volatility, a central bank research paper said. The market, which the central bank did not acknowledge a few years ago, has become more prominent after the taper tantrum when it began to send directional signals to currency markets in Mumbai, said the Reserve Bank of India paper. The share of the Indian rupee in the