Listen to this article:

New Delhi: Rupee is likely to stay under pressure against the US dollar over the next few months, even though the Reserve Bank of India (RBI)’s latest steps to pull in foreign money are expected to help, according to a Reuters poll of currency analysts.

According to the poll of 44 strategists conducted between June 26 and July 1, the rupee is expected to hover near current levels, around 94.5 per dollar in three months, weakening slightly to 95 by the end of December 2026, and further to 95.9 in 12-months. That outlook hasn’t really changed from earlier polls, though analysts are somewhat less pessimistic than before, Reuters reported.

A steep fall in global oil prices, back to levels seen before the US-Israel war on Iran broke out on February 28, has helped the rupee regain some strength. The RBI’s fresh measures to draw in dollars have also lifted market sentiment a bit.

Despite these efforts, the rupee remains 5.4% down against dollar for the year as foreign investors have pulled $31 billion out of Indian equities this year.

Also read: What Can (Realistically) Help the Indian Economy Now?

Sakshi Gupta, principal economist at HDFC Bank told........

© The Wire