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The presidency banks dominated banking in India but there were also some exchange banks and a number of Indian joint stock banks. All these banks operated in different segments of the economy. The exchange banks, mostly owned by Europeans, concentrated on financing foreign trade.
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The actual rate for exchanging currency is far higher than the so-called today's rate because the Indian money exchangers, Banks and forex dealers have to keep high margins to avoid any losses on account of rate fluctuation in the global market. So, the norm of today's rate is just an easy way for forex dealers to make a few extra bucks.
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