A brand new analysis report from the financial division of State Financial institution of India has mentioned that the rupee will depreciate sharply following Donald Trump’s election as the following US President, is unfounded.
“Through the Trump 1.0, rupee depreciated by 11 per cent, lower than it depreciated throughout Biden time period… Whereas a stronger greenback would possibly end in short-term capital outflows for short-term as traders flock to dollar-based property, on a constructive word, a decrease rupee would possibly present an export benefit, doubtlessly boosting revenues in sectors like textiles, manufacturing, and agriculture,” mentioned the report titles US Presidential Election 2024: How Trump 2.0 impacts India’s and World Economic system.
- Additionally learn: Trump 2.0: What it means for India’s commerce & diplomacy
Whereas the report acknowledged that Trump’s victory introduces a mixture of challenges together with elevated tariffs, H-1B restrictions, it additionally presents India with long run incentives to broaden its manufacturing, diversify export markets, and improve financial self-reliance.
