Indian rupee hits record lows despite strong GDP growth

The Indian rupee has fallen over 6% in 2025, becoming Asia’s worst-performing currency, breaching the 91-per-dollar mark. This decline occurs despite an impressive 8.2% GDP growth in Q2 2025, driven by strong manufacturing and services activity. Persistent foreign capital outflows and a widening trade deficit are key factors behind the rupee's weakness.

For traders, the falling rupee may benefit exporters but raises costs for imports and foreign debt, impacting inflation and consumer prices.

Not investment advice. For informational purposes only.