Manmohan Singh on Devaluation

If you look at the whole history of India's independence struggle before 1947 all our national leaders were fighting against the British against keeping the exchange rate of the Rupee unduly high. Why did the British keep the exchange rate of the Rupee unduly high? It was because they wanted this country to remain backward and they did not want this country to industrialize. They wanted the country to be an exporter of primary products against which all Indian economists protested. If you look at Indian history right from 1900 onwards to 1947, this was a recurring plea of all Indian economists - not to have an exchange rate which is so high that India cannot export, that India cannot industrialize. But I am really surprised that something which is meant to encourage the country's exports, encourage its industrialization is now considered as something anti-national.

Manmohan Singh in Rajya Sabha on 16th July 1991 (after the devaluation of Indian Rupee).