USD/INR Price News: Rupee drops to 73.00 even as OECD raises India’s GDP forecasts

The Organization for Economic Co-operation and Development (OECD) announced upward revisions to India’s economic growth projections for the fiscal year (FY) 2021-22, in its interim economic outlook released Tuesday.

Key takeaways

India's economic growth rate raised by 4.7 percentage points at 12.6% for 2021-22.

It pegged the economic growth rate to ease to 5.4% in 2022-23, which would be higher by 0.6 percentage points than its earlier estimates.

India would share its fastest-growing large economy tag with Indonesia. The Indian economy was projected to decline by 8% in the current fiscal year. However, OECD believes that contraction would be less steep at 7.4%.

USD/INR rebounds in Asia

The Indian rupee failed to benefit from the OECD’s upward revision to the growth forecasts, as USD/INR rebounded from three-day lows of 72.77.

The spot currently trades at 72.97, up 0.27% on a daily basis.