The Indian rupee changed hands at $79.7, remaining close to its historic low of over $80 as the dollar index hovered at 20-year highs and investors expect a slowdown in Asia's third-largest economy amid higher interest rates. The latest data showed India’s GDP expanded by 13.5% year-on-year in Q2, the most in a year but below expectations of a 15.2% advance. However, economists anticipate yearly growth at 6.2% in Q3 before decelerating further to 4.5% in Q4, a Reuters poll showed. The Reserve Bank of India raised its key repo rate by 50 bps to 5.4% during its August meeting, bringing cumulative increments to 140 bps since May and markets see the repo rate to be hiked to at least 6% by December. The Indian rupee depreciated almost 7% so far this year, amid accelerating inflation, worsening external finances and persistent capital outflows.
Historically, the Indian Rupee reached an all time high of 80.21 in July of 2022. Indian Rupee - data, forecasts, historical chart - was last updated on September of 2022.
The Indian Rupee is expected to trade at 80.34 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 82.24 in 12 months time.