USD/INR: Indian rupee to post record lows – ANZ

Analysts at ANZ bank expect the Indian rupee pair to dip to record lows later in the year. USD/INR is currently trading at 76.070.

Key quotes

“The rising number of COVID-19 cases in India could lead to another extension in the lockdown beyond 3 May, which will pose downside risks to our GDP growth forecast of 1.6% for FY21.”

“The RBI announced a special liquidity facility worth INR500bn for mutual funds, but the broader growth and risk backdrop will likely continue to exert pressure on the rupee, despite low oil prices.” 

“We expect INR to fall to a record low of 80 by Q3.”