Reserve Bank of India (RBI) has enough "fire power" to deal with the rupee volatility, and will intervene in the forex market as and when required, said Planning Commission Deputy Chairman Montek Singh Ahluwalia.

"It's up to the RBI (to take action). It has a lot of fire power. It will intervene when it think it is necessary," he said when asked about the measures being taken to check the fall of the rupee that touched a record low of 59.93 against the dollar.

US Federal Reserve Chairman Ben Bernanke said yesterday the Fed may start scaling back its stimulus programme later this year.

Following the statement, the US dollar strengthened against major currencies. The rupee hit a life-time low of 59.93 to a dollar in early trades today.

-PTI

Jyothi Shankaran

    Jyothi’s last role was as Senior Editor with the business news channel Bloomberg TV India. He also worked as News Editor at business-standard.com, the online version of the business newspaper Business Standard. Jyothi is a chemical engineer from the Regional Engineering College, Srinagar.