Depreciation of Indian rupee against the US dollar is unlikely to hit bilateral trade between India and Malaysia, a senior Malaysian trade official said today.
“Though it is not very clear about the rupee depreciation impact on India’s imports from Malaysia, I do not foresee any major effect,” the Malaysian High Commission Minister Counsellor (Economic Affairs), Mr Muthafa Yusof, said here on the sidelines of a CII-organised interactive session.
“There had been some depreciation in our currency also and so some balancing effect with the Indian rupee,” he added.
The rupee has depreciated nearly 16 per cent against the US dollar in 2011 so far.
During January-September 2011, bilateral trade between India and Malaysia stood at $9.3 billion. Malaysia expects bilateral trade with India to touch $11 billion in 2011.
In 2010, India-Malaysia trade amounted to $8.9 billion, out of which palm oil — a major item imported by India — accounted for $1.2 billion.