Mumbai: The Reserve Bank of India turned a net buyer of $7.4 billion in February, compared with net sales of $2.4 billion in January, likely aided by a strengthening rupee following the announcement of the India-US trade deal in early February. The real effective exchange rate (REER)-a weighted average of the rupee against a basket of six major currencies-stood at 91.23 in March, down from 92.45 in February. A REER below 100 indicates that the currency is undervalued, supporting export competitiveness.

