With the rupee hovering near a record low, Indian tourists would be tempted to give foreign shores a miss this year. But staying home is not an option for Harsh Chadha, a multinational executive just back from a three-week family vacation in the UK.
Chadha, 35, is part of India’s growing elite, whose trips abroad are not affected by the vagaries of the currency market.
“[If I’m planning] a trip to a place like London [and] already spending enough money … a 10-15 percent increase in the dollar will not be pinching me a lot,” says Chadha, an IT director who bought pounds for 92 rupees ($1.5) each before going on vacation.
The Indian rupee has fallen around 10 percent since March and reached a low of 61 to the dollar in June, hurt by the U.S. Federal Reserve’s plans to taper stimulus measures and India’s ballooning import bill.
And it’s not just the dollar. The rupee hit 93 to the pound, compared to about 80 in March, while the euro jumped to 78 rupees from 70 in recent months.