Reserve Bank of India Intervenes to Stabilize Rupee Near 90

The Reserve Bank of India actively intervened in spot and offshore non-deliverable forwards markets between February 17 and February 18, 2026, to stabilize the Indian rupee and prevent it from breaching the 91 level. The currency opened at 90.72 on February 17 and closed slightly higher at 90.67 by February 18.

Downward pressure on the rupee stemmed from a three-month high merchandise trade deficit of $34.68 billion in January and a strengthening US dollar index, which traded between 97.03 and 97.24. These factors were countered by falling Brent crude prices, positive domestic equity markets, and significant foreign portfolio investment inflows, including $881 million over one week and ₹995.21 crore in equity purchases on February 17.

Market analysts noted a shift in the currency's support zone from 90.00–90.20 up to 90.40, signaling a gradual upward realignment. While expectations of US Federal Reserve rate cuts provided a cushion, the Reserve Bank of India continued to sell dollars, specifically at the 90.78 level on February 18, to manage the rupee's range and deter speculative short selling.