Money which flows......

hot money
in economics hot money refers to the money which flows into the country and take advantage on interest rate.they also influence bop
 
In the economic terms Hot money is synonym for the Foregn Institutional Investment since there is no control of any authority on the investment made under this category so at any time they can pack their things and can move out of the country.
 
:SugarwareZ-195: For an Economic to be stable Money should flow continuously in market, whenever it stuck the market get stuck, especially it affect the Stock Exchange get Down......
 
its FII which is invested by the foreign countries in host country stock exchange
 
Hot money.. Its dictionary meaning states Money that is moved by its owner quickly from one form of investment to other, as to take advantage of changing international exchange rates or gain high short - term returns on investments.
 
Since foreign money flows into the country so more money causes the Rupee( In our context) to appreciate. This has lead to the huge increment in the value as the rupee has appreciated 5.7 %, this has adversely affected the export of soem commodity. RBI is thinking of now limiting the appreciation of Rupee. China on the other hand never allows Yuan to appreciate to help in the exports.
 
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