ANZ warns Rupee could hit 91.50 much sooner than FY27 amid structural woes.

• ANZ projects USD/INR at 91.50 by FY27, with warnings that this level could be reached much sooner.
• The rupee hit a new all-time low of 90.47 against the dollar, driven by increased importer hedging and fading India-US trade deal optimism.
• High tariffs are cited as a key structural factor contributing to the rupee's long-term depreciation trend.
• Short-lived rupee appreciation is expected in early 2026 due to seasonality, but this relief is considered tactical, not structural.
• Foreign investor sentiment is dampened by India's capital gains and withholding tax regime, with no budget relief anticipated.

Why It Matters: Expect the rupee to weaken further, impacting India's economy and your financial outlook.