Whether the country would however save foreign exchange is a matter of conjecture. The sellers of unofficial foreign exchange are primarily a large number of Indians abroad who have to remit something to their families in India. That remittance is bound to come and if there is no free-market it will come through the official channels. On the other hand other sellers of unofficial Exchange are exporters who retain a part of export proceeds abroad. If there is no incentive to sell dollars at free A POLITICAL COMMENTARY market prices, the export proceeds may And its way to Swiss Banks rather than Indian ones. In the balance I am entirely in support of Professor Gulati's proposal