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Why Did Rupee Hit Lifetime Low Against USD, NCP Asks Finance Minister

The rupee fell by 60 paise to an all-time low of 81.59 against the US dollar in early trade on Monday as the strengthening of the American currency and risk-averse sentiment among investors weighed on the local unit

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The Nationalist Congress Party (NCP) asked Finance Minister Nirmala Sitharaman to explain why the rupee has fallen to an all-time low against the US dollar on Monday, amid the weakening of the rupee. 

The rupee fell by 60 paise to an all-time low of 81.59 against the US dollar in early trade on Monday as the strengthening of the American currency and risk-averse sentiment among investors weighed on the local unit.

At the interbank foreign exchange, the domestic unit opened at 81.47 against the greenback, then fell to 81.58, registering a fall of 60 paise over its previous closing.

On Saturday at a press conference in Pune, the minister said that the rupee "held back very well" against the US dollar when compared to other currencies. 

NCP national spokesperson Clyde Crasto on Monday tweeted, "Can she explain why the rupee has fallen to an all-time low of 81.47 against the US dollar? If she concentrates more on the finance ministry and less on Baramati, maybe she can.''

Against the backdrop of the rupee dropping to a lifetime low against the greenback, Sitharaman on Saturday said the Reserve Bank and the Finance Ministry are keeping a very close watch on the situation.

She had told reporters in Pune during her Baramati tour last week that if any currency has held its own and did not get into fluctuation or volatility as much as other currencies, it is the Indian rupee. 

"We have held back very well," she added. 

Ahead of the 2024 general elections, the minister’s tour was part of the BJP's campaign to strengthen the party in 144 Lok Sabha constituencies where it is weak.


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rupee down rupee fall politics economy