New Delhi: The government, in coordination with regulator, is closely monitoring the rupee after it slipped past the 90-mark against the US dollar and may step in if the situation turns uncomfortable, Economic Affairs Secretary Anuradha Thakur said on Monday.
“Anything above 90, everyone starts talking about it. Even we start watching it carefully. It is a question of flows, and we are impacted by that,” Thakursaid. She added that a depreciating rupee can also offer some advantage by improving export competitiveness. “We are watching together with regulators and other stakeholders. We will see how to handle it if a situation more than un-comfortable happens,” she said.
According to the Economic Survey FY26, the rupee depreciated by about 6.5 per cent between April 1, 2025 and January 22, 2026, making it among the weakest-performing currencies during the period.
The decline was comparable to the Japanese yen’s 5.5 per cent fall and steeper than that of other Asian peers such as the Philippine peso and Indonesian rupiah. On Budget proposals for Alternative Investment Funds (AIFs), Thakur said a long-pending industry demand has been addressed. Amendments to the LLP Act will allow AIFs to operate as limited liability partnerships, easing operational constraints, rationalising partner entry and exit documentation, and limiting liability.
She also highlighted the proposal to permit Persons Resident Outside India (PROIs) to invest in equity instruments of listed Indian companies through the portfolio investment scheme. The Budget also proposes raising the investment cap for an individual PROI to 10 per cent from 5 per cent, and the overall limit to 24 per cent from 10 per cent, to boost foreign currency inflows.