Rupee kicks off 2026 on a weak note, closes at 89.99 per dollar
The Indian rupee didn't have the best start to the year, trading at 89.99 against the US dollar—down 11 paise from last session in early trade.
Looking back, 2025 was rough too: the rupee dropped nearly 5% after crossing the 85-per-dollar level last January.
What's behind the slide?
It's not just about the dollar—the rupee fell over 19% against the euro, around 14% versus the pound, and more than 5% against Japan's yen in 2025, making it one of Asia's weakest currencies.
Even though the global dollar index fell last year, US tariffs and foreign investors pulling out for better returns elsewhere kept up pressure.
Foreign direct investment also took a hit: net inflows turned negative after hitting $23 billion in 2024, signaling a tougher climate for money coming into India.