The cost will be lower foreign capital inflow and slower growth, but greater stability should result.

CNN: ASIANOW - TIME Asia

But the inflow of foreign capital would put upward pressure on the rupee.

ECONOMIST: Indian financial reform

In the case of Thailand, the opening of an offshore banking center for foreign banks, intended to increase capital inflow, proved far too successful.

WSJ: Philip Bowring: China Needs a 1997-Style Crisis

In the early 1990s, the Asian miracle economies received a large inflow of foreign private capital on account of the financial liberalization they undertook and their economic success.

CNN: VIEWPOINT

The measure is intended to encourage the inflow of long-term foreign investment capital.

FORBES: Brazil Cuts Taxes As Economy Slows

Foreign firms are bringing in more capital than they need for investment: the net inflow of FDI is 60% higher than a year ago, yet the actual use of this money for fixed investment has fallen by 6%.

ECONOMIST: Capital inflows to China