Heavier US tariffs sink rupee to near 24 against UAE dirham

NEW LEVIES COMING INTO EFFECT TODAY PINCH EXPORTERS, REWARD EXPATS

- BY MANOJ NAIR

The Indian rupee fell to 23.88 to a dirham — its lowest since August 8 — as the 50 per cent US tariffs on Indian exports to that country comes into effect today.

The possibility of the rupee dropping to 24 against dirham for the first time has grown, which will also create new possibilities for Indian expats in the UAE and other Gulf markets with the September remittances just days away.

“September remittances will be especially high, given that it’s also the festival season in key markets such as Kerala, which is marking Onam,” said a top official at a currency exchange house.

Competitive exchange rates

Leading remittance fintechs in the UAE such as Botim and Comera are extending rates of 23.82 and 23.85 respectively, while e& is offering 23.84 to a dirham. Exchange houses have pegged it at 23.8.