India’s fiscal deficit expanded sharply to 12.3% of the government’s estimate for FY22, compared with 8.2% in the same period last year. Meanwhile, Goldman Sachs downgraded its forecast on the Indian rupee to 81 per USD over twelve months, compared to the previous forecast of 78 per USD. The pressure on the rupee remains, and the country’s central bank will have to continue intervening to smoothen the depreciation path.