2023 The India Story: When rupee gained currency against US dollar

The year rupee remained the most stable against the dollar in nearly three decades

The rupee displayed remarkable stability against the US dollar in the current calendar year, marking the least volatility witnessed in nearly three decades. The local currency experienced a marginal depreciation of 0.5 per cent against the greenback. The last time the Indian unit exhibited such stability was in 1994, when it appreciated by 0.4 per cent.

Market participants attribute the stability to the Reserve Bank of India’s timely intervention in the foreign exchange market, both in terms of selling and buying dollars. Moreover, the domestic market witnessed robust foreign inflows, which kept the rupee afloat during global uncertainties. The RBI