Govt lists major reasons behind fall of rupee against US dollar, shares data

July 26: The Union government, while answering a question in the Rajya Sabha, shared data showing changes in value of Indian rupee against US dollar since 2018. According to the government, the major reasons behind the fall in rupee include US-China trade war, COVID-19 related disruptions, hike in interest rates by US Federal Reserve, rising crude oil prices and Russia-Ukraine war, among others.

Exchange rate of the Indian Rupee is market determined. Various global factors have contributed to depreciation of the Indian Rupee over the years which incl, US-China trade war in 2018, rate hike by the US Federal Reserve in 2018 & Covid related disruptions in 2020.