India's currency
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India's central bank steps in as rupee sinks further

16 May 2012 Last updated at 17:23 BST

The Indian central bank has been intervening in currency markets to buy the rupee, after it sank to a five month low against the US dollar.

The weakness is being put down to a run of bad economic news but some experts say that allowing the rupee to fall further may help the economy rather than hinder it.

Adrienne Murray reports.