Rupee weakened against dollar
The dollar has once again made a strong comeback. Its impact has been directly on the Indian rupee. On Tuesday, the rupee fell against the dollar to 88.80. This is the weakest level ever. The record that was made last week also died this time. The biggest reason for this decline is believed that business tension is increasing between India and America these days. Due to this, the demand for dollar increased and along with the currency of the rest of the countries, our rupee also fell.
Asia’s currency could not survive
Along with the rupee, the currency of other Asian countries has also been affected. The currencies of South Korea, Thailand, Indonesia, Singapore, China and Japan have also fallen slightly. It is clear that not only India, but the economy of the whole Asia is under pressure at this time.
Tension environment with Trump’s new threat
Here, US President Donald Trump again made a big statement about business. He clearly said that a heavy tax will be levied on the goods of the countries which do not make furniture in America. He also said that every film made outside America should be taxed 100%. Hearing this statement of Trump, the market got more nervous. Many businesses of the world will now start distance from America, and it can also affect India.
The last week was also heavy for the country
Talking about the previous week, that too was nothing special for the Indian economy. Trump first increased the fees of H-1B visa, which caused a shock to our IT sector. After this, he announced to tax India’s medicines. After these news, the stock market was broken and the Sensex fell more than 2000 points in the whole week. The rupee also closed at 88.7175, which was the weakest level till that time. Now the new record is broken.
How will your pocket affect by falling money?
- Inflation will intensify When the rupee is weak, the goods coming from abroad become expensive. This includes items like petrol, diesel, mobile, laptop and food oil. Expensive petrol means expensive transport. And when the transport is expensive, the price of everything in the market will increase.
- Travel and freight will be heavy on pockets- India asks for a lot of fuel from outside. When the rupee falls, petrol and diesel become expensive. This affects the bus, taxi and truck. Then whether you go for a walk or ask for something, everything becomes expensive.
- Foreign goods will be barely more difficult- We buy many things from abroad, such as medicines, smartphones, dry fruits and many electronic things. If the rupee is weakened, it will take more money to get them and they will be out of the reach of common people.
- To take loans expensive- Government and big companies often take loans from abroad. When the rupee is weak, they spend more money to repay the debt. This increases the expenses of the government and can increase interest rates. This can affect your home loan, car loan and other loans EMI.