Rupee's Predicament Under Trump 2.0 Regime

The SBI research report suggests the rupee may depreciate by 8-10% against the dollar during Trump's second presidency. While a strong dollar could lead to short-term volatility for India, it also presents opportunities to enhance economic self-reliance and diversify export markets.

In a projection by the State Bank of India (SBI), the rupee is poised to depreciate between 8-10% against the US dollar under the anticipated Trump 2.0 era, despite hitting an all-time low on Monday.

The report, evocatively titled 'US Presidential Election 2024: How Trump 2.0 Impacts India's and Global Economy,' underscores the possibilities of short-lived currency fluctuations, transitioning into periods of appreciation.

While the comeback of Donald J. Trump as the 47th US President creates market turbulence, it simultaneously unlocks opportunities for India to bolster manufacturing, diversify export strategies, and push towards economic autonomy, the report suggests.

(With inputs from agencies.)