The rupee is expected to move in a narrow band after a year that saw the currency rising and weakening from one half to the next.
The rupee posted strong gains in the first half of 2014, peaking at an 11-month high of 58.33 in May on the back of strong foreign inflows.
But the rupee has steadily lost ground, hitting a 2014 low of 63.89 this month due to a worsening global risk environment.
For the year, the rupee fell 2.3 per cent, though that was much better than a 12.6 percent loss last year.
Analysts expect the rupee to trade in a narrow band in 2015 with positives such as government reforms and foreign buying to be offset by a highly anticipated US rate hike.
Dealers also expect RBI to try to prevent excessive strength in the rupee in a bid to help exporters remain competitive.
The rupee is expected to move in 62.50-66.00 band during the year, dealers said.