By Arul Prakash
The title itself shows that the article was about Dollar. Yes! Rupee is falling day by day and dollar value is appreciating. The Million Dollar Question is How to Stop the falling Rupee?. RBI and Government need to take necessary action to stop this fall. This is the general thinking of people. I was thinking in the same way initially, latter I realize few things which I want to share here.
People and the Government
People and the Government are interrelated things. People depend on the government for Policies and laws to save them. In turn, government depends on the people for revenue. So we cannot blame only government or expect government to stop falling rupee. Here are 3 simple things we can do as responsible citizens of India; to stop the falling rupee.
Pay your Taxes
Paying taxes is the duty of every individual and it is important revenue for the government. So dont try to evade tax. If you pay taxes correctly, the government will have enough amounts to fund their projects. This will increase the productivity of the country and strengthens rupee.
Even if you didnt pay your taxes by 5th Aug 2013 (This year last date for tax filing is 5th Aug) you can very well pay taxes before 31st March 2014 but with penalty. So, take help of a Tax consultant/Financial Planner and pay your taxes.
Invest in the Market
Many of us are thinking that stock market investment is riskier. Yes it is! But, risk prevails everywhere. There is a risk of accident while driving your 2 wheeler, there is a risk while walking and it goes on. Still everyone is driving, everyone is walking.
We should not fear for risk, because we cannot avoid risk. Do you think your bank investment is very safe? Some banks in foreign had gone bankrupt and even in India; many banks have shown increasing number of Nonperforming Assets. If they are unable to recover the money from those nonperforming assets, your money will be in RISK. So understand risk prevails everywhere and try to tackle it.
If you invest in stock market, the companies will grow and the economy will grow. By this way, Rupee will start appreciating. If you dont know how to select a stock, take help of an Investment Advisor/Financial Planner who can help you in this regard, but dont try to run away from stock market.
Be the Change you want to see
If you want to change something, you need to change first. This is one of the famous quotes of Mahathma Gandhi. So instead of expecting the government to change, if we change, it will make great changes in our economy. The above stated things are just examples; you can think many more ways and make our nation proud. I hope you will do that!
The author is Arul Prakash B, a PGDM in Finance was an Independent Financial Planner and Director of Pushpak Financial Planners (http://pushpakfinancialplanners.weebly.com). Investment Planning, Risk Management, Portfolio Management, Tax Planning are his area of interest. He has passion for Personal Financial Planning. He can be reached at pushpakfinancialplanners@gmail.com