News Cubic Studio

Truth and Reality

Indian rupee falls sharply against the US dollar, reaches its lowest level ever

There has been a sharp fall in the Indian rupee against the US dollar. The Indian rupee has come down to a record low against one US dollar. On Thursday, the rupee suddenly fell by 20 paise and has come down to the lowest level of 83.64. Earlier it had touched the level of Rs 83.57 per dollar. The rupee touched the lowest level in April 2024.

According to a Bloomberg report, the rupee has fallen due to the strengthening of the US dollar. Despite the rupee coming to its lowest level, it is the second best performing currency in Asia. The Hong Kong dollar is at the top of this list.

Difficulties may increase due to the fall of rupee

Let us tell you that a big weakening of the rupee against the US dollar can also increase your problems with the government. This increases the prices of petrol and diesel, which has a direct impact on your budget. India imports about 80 percent of its petroleum products. The fall in the rupee will make the import of petroleum products expensive.

Oil companies may increase the domestic prices of petrol and diesel. Due to increase in diesel prices, freight cost will increase, which can lead to a rise in inflation. Apart from this, India also imports edible oils and pulses on a large scale. Due to weakening of rupee, the prices of edible oils and pulses can increase in the domestic market.

An increase of one rupee in the value of dollar increases the burden of Rs 8,000 crore on oil companies. This forces them to increase the prices of petrol and diesel. A 10 percent increase in the prices of petroleum products increases inflation by about 0.8 percent. This directly affects our food and transportation costs.