Rupee Slips After RBI Eases FX curbs

2026-04-21 04:05 By Mariene Camarillo 1 min. read

The Indian rupee slipped to around 93.3 per dollar on Tuesday, easing after a brief stabilization as domestic policy adjustments and geopolitical uncertainty weighed on sentiment.

Pressure on the currency followed the Reserve Bank of India’s decision to partially unwind recent foreign-exchange restrictions.

The measures, introduced only weeks earlier, had supported the rupee by curbing arbitrage between onshore and offshore markets.

Their rollback is now seen as increasing trading flexibility but also reviving volatility in currency flows.

External uncertainty also weighed on sentiment, with the US–Iran truce set to expire midweek.

President Donald Trump said the deadline is unlikely to be extended without progress on a broader deal, adding he would not be “rushed into making a bad deal.” While further talks, including a possible meeting with Iranian representatives, are being discussed, details remain unclear, and Iran has previously signaled reluctance to continue negotiations.



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Rupee Slips After RBI Eases FX curbs
The Indian rupee slipped to around 93.3 per dollar on Tuesday, easing after a brief stabilization as domestic policy adjustments and geopolitical uncertainty weighed on sentiment. Pressure on the currency followed the Reserve Bank of India’s decision to partially unwind recent foreign-exchange restrictions. The measures, introduced only weeks earlier, had supported the rupee by curbing arbitrage between onshore and offshore markets. Their rollback is now seen as increasing trading flexibility but also reviving volatility in currency flows. External uncertainty also weighed on sentiment, with the US–Iran truce set to expire midweek. President Donald Trump said the deadline is unlikely to be extended without progress on a broader deal, adding he would not be “rushed into making a bad deal.” While further talks, including a possible meeting with Iranian representatives, are being discussed, details remain unclear, and Iran has previously signaled reluctance to continue negotiations.
2026-04-21
Rupee Holds Gains Amid Global Jitters
The Indian rupee steadied to around 92.6 per dollar, holding recent gains as traders weighed the durability of the Middle East ceasefire and broader global risk sentiment. The currency is expected to open in the 92.70–92.80 range, supported by ongoing Reserve Bank of India measures and easing foreign equity outflows, which have helped stabilize flows. However, upside potential is seen as limited, with participants pointing to volatile crude prices, persistent importer hedging, and uneven capital inflows likely keeping the rupee confined to a narrow trading band. Global sentiment remains fragile after renewed Middle East escalation, with Donald Trump and Iranian officials diverging on the path forward and clouding prospects for talks ahead of a ceasefire deadline. Tensions rose after US forces boarded an Iranian-flagged vessel in the Gulf of Oman, the first enforcement action tied to the Strait of Hormuz blockade.
2026-04-20
Indian Rupee Extends Gains on RBI Measures
The Indian rupee strengthened to around 92.7 per dollar, extending gains from the previous session, supported by measures from the Reserve Bank of India to curb oil-related dollar demand. The central bank reportedly directed state-run oil importers to route their foreign exchange needs through a special credit facility via State Bank of India instead of the open market, reducing immediate USD demand and easing pressure on the rupee, given India’s reliance on crude oil imports. Broader measures, including tighter FX position limits for banks and restrictions on offshore-linked hedging activity, also helped curb speculative pressure and support the currency. Additionally, foreign investors turned net buyers in Indian equities, with inflows of around INR 3.8 billion helping underpin sentiment. Meanwhile, broader sentiment remained uneven, with elevated crude prices and ongoing geopolitical uncertainty in the Middle East continuing to weigh on risk appetite.
2026-04-17