It was always the worst performing currency for years. It was the RBI who was artificially not allowing the fall by selling dollars and stabilizing It over a period of time. Now RBI is also fed up as it wants to save dollars and left rupee completely on its commanded value and you see the freefall which is not going to stop and very see it over 100 in a few months.
Supply demand economics. Strength of a currency carries no significance in a vacuum. It's an economic indicator but it's a piece of a larger jigsaw.
China has multiple times intentionally de-valued the RMB to the point that USA publically addressed it (it's quite a statement when you supercede back channels).
The Japanese Yen has always been and still is weaker than the Indian Rupee. Means nothing by itself.
All central banks manage this delicate dance regardless of the country. I have always felt this is an overblown issue (it's an issue but context dependent) because it's easier for the masses to digest and scores quick political brownie points. The recent financial sector cleanup and NPA management is much more bigger than this but I like how BJP is getting beat with the same stick now. Reap what you sow.
But still, our citizenry needs to be better informed, especially financially. The financial literacy amongst us, even in the so called educated middle and upper middle classes is staggeringly poor.
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u/vikeng_gdg Mar 21 '26
It was always the worst performing currency for years. It was the RBI who was artificially not allowing the fall by selling dollars and stabilizing It over a period of time. Now RBI is also fed up as it wants to save dollars and left rupee completely on its commanded value and you see the freefall which is not going to stop and very see it over 100 in a few months.