Rupee’s Downward Slide and Its Impact on Stock Points, BSE, and NSE and other .....
For a layman like me, not well-versed in the nuances of the rupee's decline against the dollar, a drop of ₹4.85—or roughly 6%—over 23 months might not initially sound alarming. However, the consistency of this decline has certainly raised my eyebrows.
During an election campaign, there was a promise—whether made seriously or in jest—that the rupee and dollar would be brought to parity, with 1 ₹ = 1 $. Yet, as of now, the exchange rate stands at 1 $ = ₹86.70. Like many others, I naively hoped that the rupee would at least strengthen against the dollar, even if achieving parity was unrealistic.
This persistent slide is concerning, especially with fears that the rupee might hit a significant low. The impact is particularly harsh on essential sectors. For example, the cost of medicines—especially for critical illnesses like cancer—education abroad, and visa fees have become burdensome for the middle and lower classes.
The uncertainty has also kept the points of NSE and BSE under strain, leaving the middle class and lower-income groups on tenterhooks. Investors, too, face limited safe options. Private finance companies, plagued by mismanagement and unethical practices, have resulted in significant losses for many. Meanwhile, bank interest rates remain modest, not exceeding 8%.
Something needs to be done before the situation worsens further, as the current trajectory has left many in financial distress and uncertain about the future - Save us and Guide us through to Transform India and US.
During an election campaign, there was a promise—whether made seriously or in jest—that the rupee and dollar would be brought to parity, with 1 ₹ = 1 $. Yet, as of now, the exchange rate stands at 1 $ = ₹86.70. Like many others, I naively hoped that the rupee would at least strengthen against the dollar, even if achieving parity was unrealistic.
This persistent slide is concerning, especially with fears that the rupee might hit a significant low. The impact is particularly harsh on essential sectors. For example, the cost of medicines—especially for critical illnesses like cancer—education abroad, and visa fees have become burdensome for the middle and lower classes.
The uncertainty has also kept the points of NSE and BSE under strain, leaving the middle class and lower-income groups on tenterhooks. Investors, too, face limited safe options. Private finance companies, plagued by mismanagement and unethical practices, have resulted in significant losses for many. Meanwhile, bank interest rates remain modest, not exceeding 8%.
Something needs to be done before the situation worsens further, as the current trajectory has left many in financial distress and uncertain about the future - Save us and Guide us through to Transform India and US.
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Hundre years back.. INR : USD ratio was < 3 INR per USD, by 1947 approx 3.5, 1967 it was 7.5 1991 before MMS as FM approx 22.5, after MMS as FM 42, and today 86-87. it hs been one way for 100 years, because we like imported goods and cannot produce enough to export. Why we want India as manufacturing hub only today, why not started 50 years back?
Jan 18
Stock markets are not a one way ride. There is nothing wrong with the current bleeding of the stock markets, given the amount of blood that was injected into it. There was some excess of it and it will bleed away. That's what the beast called stock market is. As for the declining rupee there is nothing wrong it- earlier also and currently also. In fact India's economic reforms were ushered in with a devaluation of INR by ~ 20% and you can see the strength it gave to Indian economy. But yes, the multitude of Indian populace were misled by the Govt when it was seeking mandate for 2004 and the populace was also a bunch of ignorant fools because of which they fell for it.
Jan 17
Well, it is very simple. We are importing more than exporting. So, in the end, USD has to go out to pay for extra import we make . From where this extra USD come from? There is always a limit to RBI / Govt. etc. supporting INR. Modiji were wrong and Sushma Swaraj was also wrong in the past. So, are we Indians Listening? We need to create a Habit of reading "Made in India" before buying anything. Can we do it? It is only us that can make the real difference. There is double whammy. Trade Deficit with most of the countries. Oil Import Bill is also rising. How can this gap be filled? Indian Diaspora sending USD back home can do it's bit. BUt not fully. Are you really concerned about Rupee Falling against USD?? Start buying Made in India Product, spread awareness for others as well. Start using Electric Car. Avoid using Petrol /Diesel vehicle. Avoid using Plastics. Surprised? Plastic is produced from Oil. There are many other chemicals also produced from OIL. So, we should reduce use of such chemicals. Once this is done, we are back to better position. Govt. can do little on this front. Awareness of citizens is the only way out.
Jan 16
govt is for governance.
With good governance Made in India can come to fore. The policy makers are not incentivizing Micro and Small industries. MSME sectoral benefits are all taken away by Medium Enterprises who are actually subsidiaries of large industries working as their ancillary units.
With good governance Made in India can come to fore. The policy makers are not incentivizing Micro and Small industries. MSME sectoral benefits are all taken away by Medium Enterprises who are actually subsidiaries of large industries working as their ancillary units.
Jan 16
You don't have to know the nuances, Modi & Sushma Swaraj have made that easy: Modi- rupee falling is a sign of incompetence of central rulers; Sushma Swaraj - with every paisa fall of rupee India's pride also goes down. No arguments with PM of India & a Very Senior ex minister. We all have to agree with them.
Jan 15
People will defend this decline as well and show how it is good for the country.
Jan 15
