Overview
- The rupee slipped 11 paise to 89.99 per US dollar in early trade on January 1, extending a 2025 slide that saw fresh record lows near 91.
- Foreign portfolio investors pulled sizeable funds through 2025, and official data cited by PTI showed net FDI turned negative over January–October.
- The Reserve Bank of India sold dollars to steady the market, including a net $11.9 billion in October and interventions in December.
- Despite intervention, India’s foreign exchange reserves rose to about $688.94 billion in the third week of December, aided by higher gold holdings and onshoring.
- The rupee also weakened more against the euro, pound and yen in 2025, even as export momentum improved and domestic mutual-fund inflows supported markets.