The Indian rupee has slipped by 2.8% against the US dollar so far in 2025, triggering mixed reactions across global markets. While traders and analysts assess the currency’s near-term trajectory, UAE-based Indian expats have seized the opportunity to remit larger amounts back home, benefiting from the favorable exchange rate.
Remittance centers across the UAE reported a notable surge in money transfers, with expats sending funds to capitalize on the weaker rupee. “We’ve seen a marked increase in volumes since January, as many are locking in gains ahead of further potential fluctuations,” said a Dubai-based exchange house manager.
Market analysts cite global economic headwinds, including oil price volatility and the US Federal Reserve’s policy stance, as key factors behind the rupee’s depreciation. However, they caution that further movement will depend on upcoming inflation data, RBI interventions, and geopolitical developments.
For Indian expats, the softer rupee presents a silver lining amid global uncertainty. Yet, financial experts advise cautious optimism, urging senders to keep an eye on currency trends and upcoming macroeconomic indicators before making larger remittance decisions in the coming months.
