Exchange controls are government-imposed limitations on the purchase and/or sale of currencies. These controls allow countries to better stabilize their economies by limiting in-flows and out-flows of currency, which can create exchange rate volatility.

What is the importance of objectives of exchange control?

The main objective of introducing exchange control regulations is to correct the balance of payments equilibrium. Hence, controls are put in place to manage the dwindling foreign exchange reserves by limiting imports to essentials items and encouraging exports through currency devaluation.

What are the features of exchange control?

The system of exchange control possesses the following broad features:

Who is exchange control authority in India?

The apex exchange control authority in India is the Reserve Bank of India (RBI) which regulates the law and is responsible for all key approvals.

What RBI does as an exchange control authority?

RBI has an important role to play in regulating & managing Foreign Exchange of the country. It manages forex and gold reserves of the nation. On a given day, the foreign exchange rate reflects the demand for and supply of foreign exchange arising from trade and capital transactions.

Who decides Exchange Rate in India?

4. Management of exchange rate is the responsibility of the central bank. To maintain the fixed rate the bank needs to continuously sell foreign exchange reserves to buy its own currency.

What was the purpose of the Consumer Protection Act?

What is the Consumer Protection Act? The Consumer Protection Act, implemented in 1986, gives easy and fast compensation to consumer grievances. It safeguards and encourages consumers to speak against insufficiency and flaws in goods and services.

What are the international standards for Consumer Protection?

All enterprises should obey the relevant laws and regulations of the countries in which they do business. They should also conform to the appropriate provisions of international standards for consumer protection to which the competent authorities of the country in question have agreed.

What should the government do to protect consumers?

Government should adopt or maintain policies that make clear the responsibility of the producer and to ensure that goods meet reasonable demands of durability, utility and reliability, and are suited to the purpose for which they are intended, and that seller should see that these requirements are met.

What are the UN Guidelines for Consumer Protection?

Guidelines for Consumer Protections, UN Department of International Economic and Social Affairs, A/RES/39/248 (1986). Contents Preface OBJECTIVES GENERAL PRINCIPLES GUIDELINES Physical Safety Promotion and protection of consumers’ economic interests