It is not really long time since Indian Rupee hit its all-time low against the US Dollar. Indian Rupee touched psychological level of USD/INR 75.00 in the fourth quarter of 2018 and still struggle around 70.00. Moreover, Indian currency might be under more pressure due to new IMF (International Monetary Fund) report.
Recent World Economic Outlook report published by IMF reduced economic forecast for Indian economy growth from 7.0 % to 6.1 % in 2019, and from 7.2 % down to 7.0 % in upcoming 2020. The major reason for this reduction is financial vulnerabilities and reduced availability of credit caused by the default of two large banks in late 2018. Representatives of Reserve Bank of India said that there is no need for panic and tried to steady the situation.
See full IMF report here.
Despite all predictions that US interest rates will be falling in the future, which might weaken the US dollar, Indian Rupee fell against the US dollar from USD/INR 70.816 up to 71.003 and now oscillating around 70.916.
