Which one of the following is not the most likely measure the Government/ RBI takes to stop the slid

Question

Which one of the following is not the most likely measure the Government/ RBI takes to stop the slide of Indian rupee?

Accepted Answer

Expansionary monetary policy is when the RBI would use its tools to stimulate the economy. That increases the money supply, lowers interest rates, and increases aggregate demand.Lower interest rates will also tend to reduce the value of the currency. If domestic interest rates fall relative to elsewhere, it becomes less attractive to save money in domestic banks.Therefore, it will lead to outflow of foreign currency and therefore, slide of Indian Rupee.Source: Introductory Macroeconomics: NCERT Class 12 Economics