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 subsequent US President, is unfounded.
“In the course of the Trump 1.0, rupee depreciated by 11 per cent, lower than it depreciated throughout Biden time period… Whereas a stronger greenback may end in short-term capital outflows for short-term as traders flock to dollar-based property, on a optimistic be aware, a decrease rupee may present an export benefit, probably 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.
