RBI's 5 Big Moves To Attract Foreign Capital Amid U.S.-Iran War & Rupee Pressure

RBI's 5 Big Moves To Attract Foreign Capital Amid U.S.-Iran War & Rupee Pressure

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Business Today
  • Updated Jun 5, 2026 2:48 PM IST

Amid growing uncertainty from the U.S.-Iran conflict and continued pressure on the Indian rupee, the Reserve Bank of India has unveiled five major measures aimed at attracting foreign capital and strengthening the country's forex reserves. RBI Governor Sanjay Malhotra announced the steps as foreign investors continue to pull money out of Indian markets, increasing pressure on the currency and external finances. The announcements, which come in tandem with the ordinance exempting FPIs from capital gains tax on government securities, are designed to boost dollar inflows, improve investor confidence, support the rupee, and strengthen India's foreign exchange reserves during a volatile global environment. The move comes at a time when rising oil prices and geopolitical tensions are creating fresh challenges for emerging economies. In this video, we break down the RBI's latest decisions, explain why foreign capital is crucial for India's economy, and analyse how these measures could impact the rupee, stock markets, bond markets, and overall economic stability in the coming months.

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