{
  "id": 12604113,
  "title": "Rupee undervalued; RBI will ensure stability in INR, helping it find its correct value",
  "url": "https://urgent.news/2026/10/07/rupee-undervalued-rbi-will-ensure-stability-in-inr-helping-it-find",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-07T10:18:29.000Z",
  "source": {
    "name": "YourStory",
    "slug": "yourstory",
    "url": "https://yourstory.com/2026/10/rupee-undervalued-rbi-will-ensure-stability-helping-it-find-its-correct-value"
  },
  "original_language": "en",
  "account": "The Reserve Bank of India's Governor Sanjay Malhotra declared on Wednesday that the rupee may be undervalued based on various estimates. He assured that the central bank will work diligently to stabilize the currency and help it reach its correct value. The remark comes as the Indian rupee edged nearer to its all-time low value against the US dollar. Malhotra acknowledged that while market sentiment can be irrational in the short term, it ultimately reflects the currency's true worth over the long term. He expressed the bank's commitment to maintaining stability and preventing excessive volatility. The rupee has faced considerable pressure throughout the year, particularly due to the West Asia conflict that began in late February and resulted in soaring crude oil prices, which adversely affect India as an oil-importing nation. In response to this downward pressure, the Reserve Bank introduced a concessional swap facility for diaspora deposits and bond issuances. Banks have utilized nearly $133 billion under the FCNR(B) deposits facility, which provided temporary relief to the currency in the market. However, the rupee has since slipped once again in the past few sessions. The Governor highlighted that, according to numerous estimates, including the Real Effective Exchange Rate (REER), the rupee may be undervalued and not overvalued, echoing Deputy Governor Poonam Gupta's views on September 24 that the rupee needs to stabilize and appreciate.",
  "summary": "The domestic currency has been under pressure for much of this year, especially since the beginning of the West Asia conflict in late February, resulting in a spike in crude oil prices, which poses a direct challenge to an oil-importing country like India.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}