25 Aug, 2013 11:59a.m.

Seven ways how a falling rupee can change your life

The rupee is on a free fall and had hit 65 against the dollar. It has pulled back a little but the losing streak is likely to return any time in the near future. There are predictions that the rupee will hit 70 against dollar. If you think that only the government and business men, and companies need to worry, think again. This fall in rupee will affect you in more ways than you think.

1) Imports will become expensive: With the fall in the rupee, now importers will have to part with Rs 65 for every US dollar. A year back, they had to only shell out Rs 50. So obviously they will have to pay more for imports. This means if you wan to buy imported goods, they will cost you more. So, from right from foreign cheese to mobiles, electronic items and other imported items are going to be expensive.

Rupee woes. Andrew Middleton/Flickr

2) Your budget will go for a toss: In fact, the fall in rupee will also make crude oil expensive, eventually making fuel expensive, this will increase cost of transport, and this cost will be eventually be passed on to you via inflation, making your household budget got for a toss.

3) Cars to be expensive: Auto industry imports many parts and components from abroad, the fall of rupee will hurt the already hurting automobile industry, making cars more expensive in the future.

4) Travelling abroad: For those travelling abroad, you may simply want to defer your plans for later, or go for a vacation to some place in India. You will land up paying more for everything, right from air tickets, hotel reservations and of course shopping.

5) Studying aboard: For Indian students abroad, the pain just aggravates. Earlier, if you could get $2 for Rs 100, now you will have to pay Rs 30 more to get the same amount of dollars. The only way out will be to take a loan from family and friends or dig into own savings to meet the funding gap between your education loan amount, and actual total cost.

6) Job loss: The declining economic growth is also resulting in job losses. Sectors like auto have already started laying off and production is being cut with demand falling.

7) Good times: A fall in rupee is good for exporters, since they will make a few more bucks. The same is applicable for NRIs, since they will get more rupees for every dollar.

S0urce : FirstPost

Latest in Important News
opportunity-for-revision-of-option-to-come-over-to-revised-pay-structureOpportunity for revision of option to come over to revised pay structure 🕑 13 Dec,18
will-bjps-election-drubbing-make-govt-reconsider-demands-made-by-govt-employeesWill BJP's election drubbing make Govt. reconsider Demands made by Govt. Employees ? 🕑 13 Dec,18
railway-union-to-support-the-party-which-fullfill-their-demandsRailway union to support the party which fullfill their demands 🕑 11 Dec,18
minutes-of-meeting-general-secretary-nfir-and-railway-minister-on-dec-7-2018Minutes of meeting - General Secretary, NFIR and Railway Minister on Dec 7, 2018 🕑 10 Dec,18
tier-ii-nps-investments-by-govt-staff-to-get-it-deductions-under-80cTier II NPS investments by Govt. staff to get IT deductions under 80C 🕑 10 Dec,18
aai-employees-on-hunger-strike-against-airports-privatisationAAI employees on hunger strike against airports privatisation 🕑 10 Dec,18
govt-contribution-to-nps-hiked-to-14Govt. contribution to NPS hiked to 14%. 🕑 07 Dec,18
bsnl-employee-unions-defer-strike-december-10BSNL employee unions defer strike December 10 🕑 06 Dec,18
govt-rejects-demand-higher-military-service-pay-mspGovt. rejects demand higher Military Service Pay (MSP) 🕑 04 Dec,18
cabinet-secretary-assures-matter-of-providing-benefits-of-the-old-pension-scheme-to-be-taken-up-in-the-next-cabinet-meetingCabinet secretary assures matter of providing benefits of the old pension scheme to be taken up in the next Cabinet meeting 🕑 04 Dec,18
Latest in Other News Sections
ITR forms soon to come prefilled 🕑 04 Dec,18 9:41p.m.
Govt. mulling rewards for honest and consistent taxpayers 🕑 14 Oct,18 9:54p.m.
Ayushman Bharat Health Scheme: All You Need To Know 🕑 25 Sep,18 1:39p.m.
Amazon launches five new Echo products in India 🕑 21 Sep,18 11:30a.m.
Interest for PPF and other small savings schemes hiked 🕑 20 Sep,18 12:06p.m.
Apple announces iPhone XS, XS Max and XR. 🕑 13 Sep,18 9:10p.m.
Five most healthful nuts 🕑 12 Sep,18 1:03p.m.
10 purposes where you can withdraw PF contribution before retirement 🕑 23 Jul,18 6:20p.m.
PFRDA to allow partial fund withdrawal from NPS for higher education 🕑 03 May,18 8:11p.m.
Seven things Aadhaar card holders need to know 🕑 17 Jan,18 4:50p.m.