NRIs in Gulf rush to remit money as rupee plummeting

Jeddah: The NRI community living in Gulf countries are remitting money back home as much as they could, as the Indian rupee continued to plummet. Most foreign exchange companies and banks in the Gulf region have been witnessing an unusual remittance rush as NRI cashing on weakening Indian rupee, which hit an all-time low on Wednesday as one Saudi Riyal fetched 21.054 Indian Rupees.

The Indian rupee depreciated 14 paise to fresh lifetime low against the US dollar in opening trade on Wednesday amid persistent foreign capital outflows and elevated crude oil prices. At the interbank foreign exchange, the local unit opened on a weak note at 78.86 against the greenback, then lost ground to quote at 79 — it’s all-time low level, registering a fall of 14 paise from the previous close. On Tuesday, the rupee plunged by 48 paise to close at record low of 78.85 against the US dollar, according to reports.

The rupee continued to trade at record lows on Tuesday at local currency exchange houses, encouraging NRIs to transfer money to India. Katta Prasad, a currency specialist at a local financial firm in Dubai, said the Indian currency has been on a rollercoaster ride for the last few months.

He told ‘Telangana Today’ over the phone that even many NRIs were taking loan to send the money back home as Rupee depreciated against dollar and local currencies in the Gulf pegged to the US dollar. The renewed rise in global crude oil prices too have a negative bearing on the market sentiments, he added.