With foreign fund outflows increasing due to rising imports, the rupee has tumbled to an all-time low. Therefore, when global oil prices rise, the country needs more dollars to buy oil. Recently, Brent crude oil prices reached $105 per barrel due to tensions involving Iran, Israel, and the United States, putting additional pressure on the rupee. Sell-off by Foreign Investors: The ongoing conflict is prompting Foreign Institutional Investors (FIIs) to sell Indian stocks and move their money back to the US or other markets. Costlier Diesel and Petrol: The falling rupee will make oil imports even more expensive for India.

Source: News 24 March 09, 2026 07:32 UTC