Indian Rupee Hits Record Low Against US Dollar

The Indian rupee has reached a historic low of 95.2 against the US dollar, marking a significant decline amid rising oil prices and geopolitical tensions. The currency's depreciation has raised concerns about the economic outlook, with the RBI implementing new limits on bank positions. As the rupee continues to struggle, the stock market also faces challenges, with significant losses reported. This situation highlights the interconnectedness of global events and domestic economic stability, prompting investors to closely monitor developments.

By Narendra Chaudhary Mar 30, 2026, 16:46 IST

Rupee Declines to New Low

On March 30, the Indian rupee fell below the 95 per dollar threshold for the first time, reaching 95.2 against the US dollar, marking a decrease of 0.3%.

It concluded the day at a historic low of 94.83 per dollar, slightly down from the previous close of 94.81.

In the first quarter of March, the rupee has depreciated by 4.4% against the dollar.

Initially, the currency opened positively after the Reserve Bank of India (RBI) announced a reduction in the net open position limit for banks to $100 million overnight, but it quickly lost ground, dropping 160 paise from its opening value.

Last week, the rupee experienced a decline of approximately 1%, marking its fourth consecutive week of similar losses, hitting a record low of 94.84 against the dollar.

Following the market closure on Friday, the central bank mandated that banks must limit their net open rupee positions in the onshore deliverable market to $100 million by the end of each business day, effective April 10.

Current estimates suggest that these positions could range from $25 billion to over $50 billion.

Concerns regarding high oil prices have led Indian stocks to face their most significant monthly decline since March 2020, with bonds also on track for their weakest fiscal year since 2023.

The ongoing conflict in West Asia has further driven up global crude oil prices.

Brent crude futures surged by 3% to an intra-day peak of $116.70 per barrel, approaching a new 52-week high, while US benchmark West Texas Intermediate (WTI) also rose over 3%, surpassing $103 per barrel.

In March, the rupee's value dropped by more than 4% amid escalating geopolitical tensions.

On the domestic stock market, the Sensex closed at 71,947.55, down 1,635.67 points or 2.2%, while the Nifty ended at 22,331.40, falling by 488.20 points or 2.14%.

According to exchange data, foreign institutional investors sold equities worth Rs 4,367.30 crore on a net basis on Friday.