Prime Minister: Manmohan Singh
The gold airlift, liberalisation, and a floating rupee.
Rupee per dollar
₹43.39
+5.4% on 2007
Inflation
8.35%
+1.98 pts on 2007
GDP growth
3.09%
−4.57 pts on 2007
Reserves
$257,423m
−6.9% on 2007
External debt
$227,112m
+11.3% on 2007
Brent crude
$96.94
+33.5% on 2007
Equities / FX / credit · 21 January 2008
Sensex ~21,200 (2008-01-10, intraday peak) → ~7,700 (2008-10-27, intraday low); calendar 2008 ≈ −52%; INR ~39 → ~50 per USD
Lehman collapse 2008-09-15; RBI cut CRR/repo rapidly Oct 2008–Apr 2009; fiscal stimulus packages
ReportedOfficial record. Source: BSE; RBI press releases 2008–09
BSE Sensex · 21 January 2008
−1,408 pts, then the largest-ever point fall; intraday low 16,963.96; close 17,605.40
Sensex peaked at ≈21,206 on 2008-01-10 (close) / 2008-01-10 intraday ≈21,207. Part of the 2008-01-21/22 crash.
ReportedPress. Source: Business Standard / IANS 2015-08-24 "'Manic Monday' of January 2008 revisited"
RBI reserves · 23 May 2008
USD 316.17 bn (week ended 2008-05-23)
Down to USD 252 bn by end-March 2009 (≈−USD 64 bn) through RBI intervention.
ReportedOfficial record. Source: Business Standard (RBI weekly statistical supplement); Economic Survey 2008-09 ch. 6
Sensex, INR, money markets · 15 September 2008
See rows below
FII outflows; call rates spiked in 2008-10. The RBI cut CRR from 9% to 6.5% within weeks (≈INR 1 lakh crore injected) and relaxed ECB and FCNR(B) terms.
ReportedOfficial record. Source: RBI Annual Report 2008-09; PSA Legal
BSE Sensex · 24 October 2008
−1,070.63 pts intraday (−10.96%); close 8,701.07
First close below 9,000 since 2006-06. Came after the RBI lowered its GDP forecast.
ReportedPress. Source: Wikipedia "Stock market crashes in India"; Business Standard 2008-10-10
BSE Sensex; INR · 31 December 2008
Sensex −52.5% (−10,640 pts) for the year. INR −19.2% against the USD (≈39.4 → ≈48.6), with a lifetime low of 50.65 during the year.
The trough, ≈8,160 (2009-03-09), is not confirmed by a source I saw.
ReportedPress. Source: Business Standard 2008 year-end; MAS LLP "Journey of Indian Stock Market 2008–2010"
Post-Lehman capital-account easing
Wider ECB all-in-cost ceiling (6m LIBOR + 450 bp), higher FCNR(B) rate ceiling, broader ECB definition of infrastructure (2008-10-08), CRR cuts. Aimed at capital inflows rather than goods trade.
ReportedOfficial record. Source: RBI Annual Report 2008-09; PSA Legal
South Asia (Mumbai)
BSE/NSE closed 2008-11-27 in the middle of the GFC sell-off; hotel/tourism shock; no Lloyd's listing of Indian ports found
ReportedPress. Source: NSE/BSE circulars; press
Afghanistan
58 killed and 141 wounded. Security costs rose for India's aid projects, and the attack signalled Pakistan-linked opposition to India's presence in Afghanistan.
ReportedOfficial record. Source: Wikipedia "2008 bombing of Indian embassy in Kabul"; UN SC press SC/9386
India / Pakistan
166 killed (not re-verified). Home Minister Patil resigned and Chidambaram moved from Finance to Home. Markets were shut 2008-11-27 (not re-verified). Coming on top of the Lehman sell-off, it hit tourism and hotel stocks.
ReportedOfficial record. Source: PIB / MHA; press
telecom spectrum
Telecom Minister A. Raja (DMK) allotted 122 licences in 2008 at 2001 prices, first-come-first-served. The Supreme Court cancelled all 122 licences on 2012-02-02. All accused were acquitted by the special CBI court on 2017-12-21. The CAG number is notional, and former RBI Governor Subbarao later called it "contestable". Both figures are kept because the official sources disagree.
ReportedPress. Source: Scroll "how Vinod Rai arrived at… 1.76 lakh crore"; Business Today 2024-05-01 (Subbarao); The Quint
all
ReportedPeer-reviewed. Source: [M11] Strauss Center (no original cited)
| Creditor | Instrument | Amount | US$ m | Status | Grade |
|---|---|---|---|---|---|
| ECB lenders (aggregate) | ECB approvals, FY2008-09 (global financial crisis) | 16,517 USD | 16,517 | flow | verified |
| All external creditors (aggregate stock) | Total external debt, end-March 2008 | 224.4 USD bn | 224,400 | Stock | reported |
| Foreign banks and bond markets (ECB lenders, not named) | External commercial borrowing, policy relaxation | Policy change 2008-10. The volume effect was not extracted. | reported | ||
| Non-resident Indians (FCNR(B) depositors) | FCNR(B) deposit rate ceiling raised | Policy change 2008-09/10. | reported | ||
| Bank of Japan / Government of Japan | Bilateral currency swap arrangement | 3 USD bn | 3,000 | Contingent line. Not found drawn. | reported |
Rows are listed as recorded. Some describe the same loan from different sources and must not be added together.
