Depreciation of the Rupee

I think there is a misunderstanding with regard to depreciation of the Rupee. Depreciation will not be a corrective action if it is not accompanied by deflationary domestic policy- in short unless the deficit budgeting is also stopped at the prevalent level at least and the dis-inflationary policy is allowed to operate without more money creation. What our governments do instead is to depreciate and then carry on business as usual with regard to fiscal policy and money creation. Then we get the worst of both worlds for the terms of trade become more adverse 

R.M.B Senanayake