New Delhi: Ever since Donald Trump won a bumper victory in America, the dollar has dominated the international market. Its worst effect is being seen on the Indian rupee. Currently, the rupee has reached its lowest level of Rs 84.40 against the dollar. The special thing is that during Trump's tenure, the rupee can see an even bigger decline against the dollar. The country's largest bank SBI has said in its report that the rupee can see a decline of up to 10 percent against the dollar. This means that the level of the rupee can cross Rs 92 against the dollar.

There could be a 10% drop.

The rupee may weaken by 8-10 percent against the US dollar during Donald Trump's second term. This estimate has been made in a research report by SBI. It is worth noting that on Monday the rupee reached its lowest level ever against the dollar. The title of this SBI report is 'US Presidential Election 2024: What will be the impact of Trump 2.0 on India and the global economy'. It says that the rupee may fall against the US dollar for some time, after which the local currency will strengthen.

What are the challenges facing India?

The report said that Trump's historic return as the 47th President of the United States has given life to the markets and select asset classes, although there are both challenges and opportunities for India. The possibility of tariff hikes, H-1B visa restrictions, and a strong dollar may cause volatility in the short term. The report also said that in such a situation there are opportunities for India to expand its manufacturing, diversify export markets, and increase economic self-reliance.