MUFG’s Senior Currency Analyst Michael Wan analyzes new RBI measures restricting Indian Rupee non-deliverable derivatives and recent limits on onshore USD/INR positions. He argues these steps deepen the divide between onshore and offshore markets and aim to curb INR weakness. Despite near-term Rupee support, MUFG still expects structural INR depreciation and sees higher USD/INR levels as likely over time.
RBI clamps down on INR NDF access
“RBI announced new regulations on the Indian