# Weakness in rupee will constrain capital flows into India: Sanjay Singh

> BNP Paribas's Sanjay Singh says rupee weakness, rising US bond yields and expected Fed rate hikes will constrain capital flows into India. He cites rising crude prices and political uncertainty as additional concerns for investors. He notes that growth in domestic flows has offset foreign investor outflows over the past 12 to 18 months.

- Date: 2018-05-01 · published 2018-05-01T12:00:00.000Z
- Category: macro · region India · magnitude low
- Page: https://feedsoft.ai/events/65799-weakness-in-rupee-will-constrain-capital-flows-into-india-sanjay-singh
- Commodities: [Indian Rupee (INR per USD)](https://feedsoft.ai/c/USDINR.md)

## Why it matters

Constrained capital inflows keep the rupee under pressure, which raises the cost of dollar-denominated imports for India. The main drivers are crude prices and US rate expectations.

## Read by commodity

- USDINR: bullish ▲

## Sources

- business-standard.com: https://www.business-standard.com/article/markets/weakness-in-rupee-will-constrain-capital-flows-into-india-sanjay-singh-118042601535_1.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.