# RBI's rupee defence works? Importers' dollar purchases plunge 35% to eight-month low

> Indian importers' forward dollar purchases fell 35% to $49.5 billion in October, the lowest since February, after a record high in September. The drop followed Reserve Bank of India measures to defend the rupee, including a China-style foreign-exchange risk reserve that raised hedging costs. The rupee has since risen about 2% against the dollar.

- Date: 2026-11-04 · published 2026-11-04T06:09:34.260Z
- Category: macro · region India · magnitude low
- Page: https://feedsoft.ai/events/79212-rbi-s-rupee-defence-works-importers-dollar-purchases-plunge-35-to-eight-month
- Commodities: [Indian Rupee (INR per USD)](https://feedsoft.ai/c/USDINR.md)

## Why it matters

Higher hedging costs reduce importers' demand for dollars and ease rupee pressure, which helps cap India's feed import costs. Analysts call the measures tactical rather than structural, so currency volatility may persist.

## Read by commodity

- USDINR: bearish ▼

## Sources

- moneycontrol.com: https://www.moneycontrol.com/news/business/markets/rbi-s-rupee-defence-works-importers-dollar-purchases-plunge-35-to-eight-month-low-14068702.html

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