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Indian Rupee

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Indian Rupee Hits Decade-Low Valuation Amid Oil Price Surge, Foreign Outflows
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Business·4/24/2026AI summary

Indian Rupee Hits Decade-Low Valuation Amid Oil Price Surge, Foreign Outflows

The Indian rupee's trade-weighted real effective exchange rate fell to 92.72, its lowest in over a decade, driven by Iran war-driven crude oil price surge and significant foreign portfolio outflows. The 6-currency REER dropped to 89.61, a record low since April 2015. Despite the currency hitting a record low of 95.21 per dollar in late March, analysts see limited near-term recovery prospects due to oil import demand and equity outflows, though long-term investors may find the current valuation attractive.

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Economic Times