The weakening rupee has both positive and negative impacts on the Indian economy. It also means that the RBI has to choose its battles between growth, inflation and currency. We explain.

This fall in the domestic currency was triggered by fears of a broader trade war after US President Donald Trump imposed fresh tariffs on Canada, China, and Mexico.

The Indian rupee plunged to an all-time low of 87.29 versus the US dollar on Monday (Feb 3) as the currency felt the heat of the new US administration raising the spectre of a global trade war.

The Indian rupee weakened past 87 per U.S. dollar for the first time on Monday, as Asian currencies slumped after U.S. President Donald Trump imposed tariffs on the country's largest trading partners,

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