'Rupee will find its own level': Nirmala Sitharaman addresses concerns over INR's value against USD
During the session, Sitharaman was questioned about the nationalist and political implications often linked with currency fluctuations.
- Dec 6, 2025,
- Updated Dec 6, 2025 11:52 AM IST
Finance Minister Nirmala Sitharaman addressed concerns about the rupee’s value at a recent event on Saturday. Responding to a question about whether the Indian currency is currently at a level that is too high against the dollar, she stated, "The rupee will find its own level, said Finance Minister Nirmala Sitharaman at the Hindustan Times Leadership Summit (HTLS) 2025 on Saturday."
During the session, Sitharaman was questioned about the nationalist and political implications often linked with currency fluctuations. She acknowledged her party's previous critiques about the rupee's weakness when in opposition, but clarified the circumstances were different when they raised the rupee issue while the UPA was in power.
She elaborated that the macroeconomic situation has changed since those earlier debates. Sitharaman noted the difference in economic fundamentals, stating, "I am quite tempted to say a lot of things. Rupee, currency exchange rates, etc., are rather too sensitive... inflation rate was so high back then, economy was fragile, and when your currency also takes a hit, it is nobody's bright spark,” Nirmala Sitharaman said, speaking at HTLS 2025 on Saturday."
Highlighting the importance of economic fundamentals in currency valuation, Sitharaman urged observers to view the rupee in the context of broader economic indicators. She said, "Look at the fundamentals of the economy, where we stand, some factors are very important which position India in a very different ledge… this currency debate will have to be circumscribed by those realities,” Nirmala Sitharaman said."
Moreover, Reserve Bank of India (RBI) governor Sanjay Malhotra said that the central bank does not target any band for the rupee in the forex market and allows the domestic currency to find its own level.
"We don't target any price levels or any bands. We allow the markets to determine the prices. We believe that markets, especially in the long run, are very efficient. It's a very deep market," he said while replying to a question on rupee depreciation at a post-monetary policy press meet.
On Wednesday, 3 December, the rupee touched an all-time low of 90.43 against the US dollar. This decline occurred amid selling pressure from foreign investors and rising crude oil prices. Following this drop, the rupee appreciated by 26 paise on Thursday, closing at 89.89.
Finance Minister Nirmala Sitharaman addressed concerns about the rupee’s value at a recent event on Saturday. Responding to a question about whether the Indian currency is currently at a level that is too high against the dollar, she stated, "The rupee will find its own level, said Finance Minister Nirmala Sitharaman at the Hindustan Times Leadership Summit (HTLS) 2025 on Saturday."
During the session, Sitharaman was questioned about the nationalist and political implications often linked with currency fluctuations. She acknowledged her party's previous critiques about the rupee's weakness when in opposition, but clarified the circumstances were different when they raised the rupee issue while the UPA was in power.
She elaborated that the macroeconomic situation has changed since those earlier debates. Sitharaman noted the difference in economic fundamentals, stating, "I am quite tempted to say a lot of things. Rupee, currency exchange rates, etc., are rather too sensitive... inflation rate was so high back then, economy was fragile, and when your currency also takes a hit, it is nobody's bright spark,” Nirmala Sitharaman said, speaking at HTLS 2025 on Saturday."
Highlighting the importance of economic fundamentals in currency valuation, Sitharaman urged observers to view the rupee in the context of broader economic indicators. She said, "Look at the fundamentals of the economy, where we stand, some factors are very important which position India in a very different ledge… this currency debate will have to be circumscribed by those realities,” Nirmala Sitharaman said."
Moreover, Reserve Bank of India (RBI) governor Sanjay Malhotra said that the central bank does not target any band for the rupee in the forex market and allows the domestic currency to find its own level.
"We don't target any price levels or any bands. We allow the markets to determine the prices. We believe that markets, especially in the long run, are very efficient. It's a very deep market," he said while replying to a question on rupee depreciation at a post-monetary policy press meet.
On Wednesday, 3 December, the rupee touched an all-time low of 90.43 against the US dollar. This decline occurred amid selling pressure from foreign investors and rising crude oil prices. Following this drop, the rupee appreciated by 26 paise on Thursday, closing at 89.89.