Indian Rupee Strengthens Against US Dollar Amid RBI Measures
INR regains momentum following RBI initiatives
Business Standard
Image: Business Standard
The Indian rupee appreciated by 14 paise, closing at 93.04 against the US dollar, following measures by the Reserve Bank of India (RBI) aimed at reducing speculation and volatility. Despite this, ongoing foreign capital withdrawal and rising crude oil prices continue to challenge the rupee's stability.
- 01The Indian rupee closed at 93.04 against the US dollar after gaining 14 paise.
- 02RBI's initiatives include tightening rules on speculative positions and capping banks' net open positions.
- 03Foreign capital withdrawal and a strengthening dollar remain significant pressures on the rupee.
- 04Rising crude oil prices and geopolitical tensions continue to affect the currency's performance.
- 05Indian shares rebounded sharply amid news of potential negotiations between the US and Iran.
Advertisement
In-Article Ad
On Monday, the Indian rupee gained 14 paise, closing at 93.04 against the US dollar, bolstered by initiatives from the Reserve Bank of India (RBI) aimed at curbing speculation and reducing volatility. The RBI's measures include tightening rules on speculative positions and limiting banks' net open positions to USD 100 million. However, the rupee continues to face pressure from ongoing foreign capital withdrawals, a strengthening US dollar, and rising crude oil prices, all exacerbated by a volatile geopolitical landscape. Despite these challenges, Indian shares recovered from an early decline to end the day sharply higher, fueled by reports of indirect negotiations between the United States and Iran regarding a potential 45-day truce, which could pave the way for a more permanent resolution to the ongoing conflict.
Advertisement
In-Article Ad
The strengthening of the rupee could lead to lower import costs, potentially benefiting consumers by stabilizing prices for imported goods.
Advertisement
In-Article Ad
Reader Poll
Do you think the RBI's measures will stabilize the rupee in the long term?
Connecting to poll...
More about Reserve Bank of India
RBI Overhauls Business Correspondent Model to Enhance Financial Services Delivery
The Economic Times • Apr 6, 2026
RBI Maintains Foreign Portfolio Investment Limits for Government Securities in FY27
News 18 • Apr 6, 2026
RBI Revokes License of Shirpur Merchants' Co-operative Bank Amid Financial Instability
The Economic Times • Apr 6, 2026
Read the original article
Visit the source for the complete story.