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Rupee Jumps 91 Paise to 95.80 Against US Dollar After RBI Intervention
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News18•12-10-2026, 10:00
Rupee Jumps 91 Paise to 95.80 Against US Dollar After RBI Intervention
- •The rupee rebounded sharply from record lows, gaining 91 paise to reach 95.80 against the US dollar in early trade.
- •The Reserve Bank of India introduced several measures, including a dedicated dollar window for oil marketing companies, to curb market volatility.
- •New central bank rules barred traders from rebooking cancelled rupee-linked foreign exchange derivative contracts and tightened limits on transactions without underlying exposure.
- •The RBI also established a Foreign Exchange Risk Reserve requiring authorized dealers to maintain cash reserves for specific derivative contracts.
- •India's foreign exchange reserves dropped by USD 12.952 billion to USD 734.606 billion during the week ended October 2.
Key Questions Answered
The Reserve Bank of India announced a dedicated dollar window for oil marketing companies, raised costs for certain foreign exchange hedging transactions, barred dealers from rebooking cancelled rupee-linked derivative contracts, and introduced a Foreign Exchange Risk Reserve (FERR).
The rupee rebounded sharply from a record low level, gaining 91 paise to trade at 95.80 against the US dollar in early trade on Monday after opening stronger at 95.61.
India's forex reserves dropped by USD 12.952 billion to stand at USD 734.606 billion during the week ended October 2, following an 18.343 billion decline in the previous reporting week.
