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Importers and overseas borrowers are rushing to cover their currency risk after the rupee fell to ₹80 against the US dollar in both over-the-counter and derivatives markets on Thursday, leading to forward premium jumping 11-17 basis points across maturities on Friday.
The rupee is delivering its best performance since 2015 against a basket of the heaviest traded currencies, ignoring the life-time low it hit the past week against the US dollar.
A letter sent by the ministry of electronics and information technology (MeitY) to the department of revenue in March this year has highlighted apparent differences on the validity of customs duty levies on a key component in cellular phones, the touch panel or cover glass.
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