Rupee falls to 92 against US dollar for 1st time:Indian currency slumps 200 paise so far in 2026 dragged by heightened selling by foreign investors

The Indian rupee has fallen to all-time-low of 92 against the US dollar. According to PTI, during today’s trading, the rupee after dropping to record low level recovered slightly and settled at 91.88 against the greenback. This decline in the rupee is being seen due to continuous selling by foreign investors (FPI) and increasing global trade tensions. The rupee has been under pressure since the beginning of 2026. In December 2025, the rupee had crossed the 90 level for the first time. Market experts believe that investors are increasing investments in gold and dollars due to global tension and volatility in stock markets worldwide. Three major reasons for rupee’s decline Hope for Recovery in Rupee CR Forex Advisors’ MD Amit Pabari says that if global tension reduces, the rupee could recover back to levels between 90.50 to 90.70) Rupee Depreciation Will Make Imports More Expensive The fall in rupee means that imports become expensive for India. Additionally, traveling and studying abroad have also become more expensive. How is currency value determined? When any currency’s value decreases compared to the dollar, it is called currency falling, breaking, or weakening. In English, it is called currency depreciation. Every country has foreign currency reserves, which it uses for international transactions. The increase and decrease in foreign reserves affects the currency value. If India’s foreign reserves in dollars equal America’s rupee reserves, the rupee’s value will remain stable. If our dollar reserves decrease, the rupee will weaken; if they increase, the rupee will strengthen.