NRIs residing in Gulf countries sent home as much money as possible as the rupee continues to fall, according to Telangana Today. The majority of banks and foreign exchange firms in the Gulf have seen an extraordinary surge in remittances from NRIs taking advantage of the sinking Indian rupee, which reached an all-time low on Wednesday when one Saudi Riyal cost 21.054 (approximately) Indian Rupees.
In the first trading of the day on Wednesday, the Indian rupee fell 14 paise to a new lifetime low versus the US dollar due to ongoing capital flight from abroad and rising crude oil prices. At the interbank foreign exchange, the local unit started off weakly versus the dollar at 78.86 before losing momentum and quoting at 79, which is an all-time low and a drop of 14 paise from the previous close. According to sources, the rupee fell 48 paise on Tuesday, reaching a record low of 78.85 versus the US dollar.
Tuesday’s local currency exchange houses saw the rupee trade at record lows, which encouraged NRIs to send money back to India. A currency analyst says the Indian rupee has been riding a rollercoaster for the past few months.
As per news sources, many NRIs were also taking out loans to transfer money back home because the rupee was losing value against the dollar and local currencies in the Gulf were tethered to the US dollar. The continued increase in crude oil prices throughout the world also has a detrimental impact on the market sentiments.
