<div>The rupee's stability reflects the strength of the Indian economy and the currency should be able to withstand possible international events such as a rate hike by the US Federal Reserve, Indian Finance Minister Arun Jaitley said on Thursday.</div><div> </div><div>"By and large the strength of the Indian economy is also reflected in the fact that (the) rupee has remained relatively within the stable range, and we do believe that the rupee will find its real value and real strength in the international currency market," he said at a seminar in Washington.</div><div> </div><div>He noted that even when several currencies had faced a serious challenge, the rupee was relatively more stable against the dollar and rose against most other currencies. He said the depth and size of the Indian market meant its ability to withstand such shocks was far stronger.</div><div> </div><div>"I wouldn't call it threats or risks if we continue with our own internal ability to carry on with our own reform process," he said. "And as long as we continue that, I think our ability to absorb various international possible scenarios would be reasonably high."</div><div> </div><div><strong>Goods And Services Tax</strong></div><div>The implementation of the landmark goods and services tax (GST) regime proposed from April 1 next year would increase India's GDP by one to two per cent, Jaitley said.</div><div> </div><div>"This (GST) has the potential to push India's GDP by one to two per cent," he said, adding that the landmark constitutional amendment would immediately convert India into a one big uniform market.</div><div> </div><div>The new tax regime is scheduled to be rolled out from April 1, 2016 after the necessary constitutional amendment in the next session of the Parliament.</div><div> </div><div>In Washington to attend the annual Spring meeting of the International Monetary Fund and the World Bank, Jaitley was speaking at the Peterson Institute for International Economics.</div><div> </div><div>In his effort to address the concerns of the US corporate sector related to taxation, Jaitley said his government intends to rationalise the tax regime and make the tax department friendly to the assessor itself.</div><div> </div><div>Jaitley said the government is working hard on unaccounted money and assets, undertaking steps which include increasing cashless transaction and bringing the black money back into the system.</div><div> </div><div>He assured American corporate sector that there will be no retrospective taxation system in India, but did acknowledge that there are a few issues that his government has inherited from the previous regime and is working to address those.</div><div> </div><div>(Agencies)</div>
