Is Indian Rupee going to become a global currency? Can Rupee be a substitute for Dollar? These are some questions because in the changing global scenario, instead of doing business in the US dollar, many countries are now looking for an alternative to some other currency.
At present, the basis of the economic strength of any country is considered to be its dollar reserve. There was a time when the value of a country's currency was measured equal to the storage of gold. That is, how much currency a country could circulate, was decided on the basis of its gold storage and its price.
But after World War II, America became so economically prosperous and stable economy that US dollar reserves are now considered the basis of the country's wealth. Today more than 60 percent of the world's foreign exchange reserves are in US dollars. The euro is the European currency after the dollar. Which holds 20 percent of the total foreign exchange reserves. The popularity of the Indian rupee globally is at number four. But we are not yet in the ten-strong currencies of the world.