RBI's Dollar Drip Sets Rupee Record, Crypto Crackdown Looms 🪙

The Reserve Bank of India intervened in the foreign exchange market on August 10, 2026, with state-run banks offering dollars to hold USD/INR near ₹95.23 after the rupee touched a record low of ₹96.96 in May 2026. The central bank has kept the pair above ₹95.50 since July, according to market reports reviewed by the Economic Times and Reuters.

Bankers estimated the RBI sold between $7 billion and $9 billion in a single day in late July 2026, combining spot sales with forward and non-deliverable forward market activity, as reported by Bloomberg and Hindu Business Line on July 30, 2026. India's forex reserves stood near $692–693 billion in the latest weekly data, down from a $728 billion peak earlier in the year.

The intervention comes alongside a fresh 10% tariff on Indian goods announced by President Donald Trump and rising global crude prices, factors cited as compounding pressure on the rupee, which has shed roughly 40% of its value against the dollar since 2013.

Separately, the RBI continues to push to ban crypto for an estimated 39 million Indian investors, framing digital assets as a threat to monetary stability. The proposal remains under review as the central bank balances currency defense with the country's broader digital asset market.