The Indian rupee hovered near its record low of 86.6 per USD in January due to slower economic growth and calls for softer monetary policy by the Reserve Bank of India (RBI). Capital outflows and slowing GDP growth have pressured the currency, with inflation easing to 5.2% and GDP growth slowing to 6.4% in FY2025. Speculation is growing that the RBI may relax its support for the rupee.