Archive · 14 Dec 2025
Weaker Rupee Raises Study Abroad Costs
The Indian Rupee has become weaker compared to the US Dollar, reaching a new low of Rs 90 per dollar.
This means that Indian parents who send their children to study in the US have to pay more money.
For example, a course that cost Rs 48 lakh in 2022 now costs Rs 54 lakh.
Experts suggest planning early and considering loans in US dollars to protect against currency changes.
Some parents are also opening US bank accounts or investing in US stocks to save money.
The Rupee has been getting weaker by about 3-5% each year, so it's important to plan for these changes when budgeting for studies abroad.
Additionally, the weakening Rupee is expected to increase the prices of imported goods, leading to higher inflation in India.
Some economists believe that restructuring GST rates could help lower the impact of the weak Rupee on inflation.
The Indian Rupee has depreciated to a record low of Rs 90 per US dollar, increasing the cost of studying abroad for Indian students.
The exchange rate has worsened from Rs 64 per dollar in 2017 to Rs 80 in 2022, and now Rs 90 in 2025.
A US course costing $60,000 annually required Rs 48 lakh in 2022, but now costs Rs 54 lakh due to the depreciation.
Experts advise planning early and considering USD-backed loans to minimize the impact of currency fluctuations.
The depreciation of the Rupee is expected to increase imported inflation, affecting headline inflation numbers in India.
- Who
- Indian parents and students studying abroad, economists, and policymakers
- What
- The Indian Rupee has depreciated to a record low of Rs 90 per US dollar, increasing the cost of studying abroad and impacting inflation
- When
- The depreciation has occurred over the past three years, with significant drops in 2022 and 2025
- Where
- The impact is felt globally, particularly in the US where many Indian students pursue higher education, and domestically in India
- Why
- The weakening of the Indian Rupee against the US Dollar increases the cost of tuition, living expenses, and imported goods, leading to higher inflation
Economists
GST Rate Restructuring Advocates
Impact of Rupee Depreciation
Economists
The depreciation of the Indian Rupee will significantly increase imported inflation, affecting headline inflation numbers.
GST Rate Restructuring Advocates
GST rate restructuring can help lower the impact of the weak Rupee on domestic inflation.
- Current INR-USD exchange rate
- Rs 90 per dollar
- Exchange rate in 2017
- Rs 64 per dollar
- Exchange rate in 2022
- Rs 80 per dollar
- Annual depreciation rate (last 3 years)
- 3-5%
- Example course cost in 2022
- Rs 48 lakh for $60,000
- Example course cost in 2025
- Rs 54 lakh for $60,000
- Imported inflation component of CPI basket
- 1.6% driven by gold and oils and fats
- Potential impact of 1% depreciation on price level
- 0.2 to 0.4% increase
