New Delhi: The Indian rupee depreciation post February 27 is, in fact, in line with other currencies, and better than currencies which appreciated significantly in the earlier period (April 2, 2025 to February 27, 2026), indicating that in an uncertain world pushing the limits on rupee depreciation as a shock absorber does not hold beyond an inflection point, according to SBI Research. Interestingly, the Indian rupee depreciated by 6.4 per cent between April 2, 2025 to February 27, 2026. At the same time, the dollar index also depreciated by 6 per cent during the same period.
This was the time when most currencies were appreciating against the dollar but not the rupee and thus perhaps the argument of using rupee as a shock absorber may have been overblown, according to the report.
