A ‘cricket’ batting century gets much applause but a century in other spheres can attract ridicule like members calling out the LOP for nearing a century of electoral losses. But one century that does seem imminent should cause concern to all of us, notwithstanding all the other noise coming from the recent political upheavals that’s getting huge traction. The Indian Rupee has touched 95 to the US dollar. In cricketing parlance it is ‘in the nervous 90s’ but for very different reasons.
It’s now difficult to summarise the theories we learnt in International Economics back in the 1970s. Whatever one gleans from the general discussions and newspapers, there has been a remarkable slide in the Rupee in the last decade. I recall in our last overseas trip in 2019, some of us grumbled that travel costs were high as we had to shell out 65 to the dollar. Later, my US based sisters visiting India were happy to spend less on the air-fare.
It seems a long time back & there’s been a relentless upward march making us nervous. Tough to comprehend, exchange rate moved from 45 in mid 2000 to 95 & may still rise. As of May 2026, the Rupee has faced intense pressure, trading near record lows, with geopolitical tensions affecting the global oil prices and driving capital outflows. Indian Express writes in its Editorial of 6th May, about the manifold ways it hits the economy.
Thanks to wide dissemination of information through various sources , we know that a weakening Rupee (or depreciation) generally hurts our economy by increasing imported inflation (especially for oil and electronics), raising foreign education and travel costs, and squeezing industries reliant on imported raw materials. As India imports over 80% of its crude oil and significant raw materials, a weaker rupee makes these items costlier, driving up fuel prices and everyday household goods. Electronic items (laptops, smart -phones) & raw materials become more expensive, leading to higher consumer prices.
Conversely, it boosts our export-oriented sectors like IT and pharma, as their foreign earnings translate into more rupees, improving margins. It also increases rupee returns for NRI remittances. But the ‘pros’ are outweighed by too many cons – Foreign Portfolio Investors (FPIs) often pull money out during a rapid depreciation, leading to volatility and potential dips in the equity market. Companies with large foreign debt face higher repayment burdens. As the Indian Express heading says ‘it points to challenges ahead’ !
For us Senior Citizens, there are no plans to travel overseas or send our adult children abroad to study but we all have to contend with the rapidly rising cost of living, medicines, medical treatment and domestic travel. Most importantly, for the aspiring Gen Next and the average ‘Aam’ citizens, they can hope to sing the old song‘..Sabse Bada Rupaiya’ again but maybe not so soon, if the present uncertainty persists !
Working on Living 