Rupee touches record low, remittances rise

MUSCAT, Aug 13 – For the first time, the exchange rate of Indian rupee touched 181 against the Omani rial, according to money exchanges on Monday. Money exchanges saw a huge rush, with many Indian expatriates sending remittances home, with Eid and Onam festivities just round the corner. “The remittance volume is sound. We are expecting at least three times more business than the other days,” said Philip Koshy, Country Manager, Modern Exchange Company LLC. “Treasury updates said Indian rupee opened weaker on Monday and was trading at its all-time low. Additionally, escalation in trade tension worldwide is keeping the rupee under pressure,” he said.
“Market is responding well to the never-before rate of Indian currency,” said Zacharia, Head of Musandam Exchange.
Abdul Aziz of Jadeed Exchange too confirmed an increase in customer numbers since Monday morning.
Many companies have already started paying salaries to their employees following last week’s ministerial order to pay the same before Eid.
“I’m happy to be sending money home because Eid is nearing,” said Mustafa, an expatriate.
“I don’t know the reasons or implications, but all I know is my hard-earned rials are fetching me more rupees than before,” he added.
According to a World Bank report, remittances from Oman to India have risen nine per cent in the recent past.
“Remittances have improved in all regions. Top remittance recipients were India with $69 billion, followed by China ($64 billion), Philippines ($33 billion), Mexico ($31 billion), Nigeria ($22 billion) and Egypt ($20 billion),” said the statement.