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

ECONOMIST: Indian financial reform

The necessary counterpart to an inflow of foreign capital is a deficit in the current account the largest component of which is trade in goods and services.

FORBES: The Trade Deficit Widens, As It Must

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

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

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