Finance, Forex and Investments

How do we calculate foreign exchange rate in India?

What are the factors that are considered while calculating foreign exchange rate in Indian perspective?

Public Comments

1. Rather than reproduce what is done... Here is a good website that explains (1) what an exchange rate is, (2) why and how arbitrage affects rates, and (3) the forces that affect the supply and demand, the determinants, of exchange rates. http://economics.about.com/cs/money/l/aa022703a.htm