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Stream/Area:
-
Subject:
-
Paper ID:
IJSREM67927
Volume:
10 |
10 |
Oct 2026
Pages:
1-17
Publication Frequency:
Monthly (12 issues per year)
License:International Journal of Scientific Research in Engineering and Management follows the Creative Commons Attribution 4.0 (CC BY 4.0) License, allowing free use and distribution with proper attribution.
Bachelor of Business Administration
Koneru Lakshmaiah Education Foundation
Bachelor of Business Administration
Koneru Lakshmaiah Education Foundation
In this study, the movement and risk of above four major currencies US Dollar (USD), Euro (EUR), British Pound (GBP) and Japanese Yen (JPY) have been examined against the Indian Rupee (INR) for the time period 2014–2025. The analysis has been carried out in three terms of the NDA government namely the first, second and third term.This study has analyzed the movement and risk of major four currencies US Dollar (USD), Euro (EUR), British Pound (GBP), and Japanese Yen (JPY) against Indian Rupee (INR) for the period 2014–2025 and compared the exchange-rate behaviour during the first, second and third term of the NDA government. The study utilizes secondary sources to use annual average exchange rates and percentage change, variance, standard deviation, coefficient of variation (CV), correlation, trend regression, one-way ANOVA and the Kruskal–Wallis test. The USD/INR average has increased from ₹61.02 to ₹87.17 (+42.8%) in the last 11 years and rose in 9 of those years. EUR (+21.6%) and GBP (+14.4%) also solidly appreciated against the rupee, but with ups and downs, and the JPY (+0.8%) virtually had no net movement. The CV was highest for the USD (11.56%) and lowest for the JPY (7.91%) but year-to-year percentage moves were most significant for the JPY, indicating that the CV of levels is largely a measure of trend for the USD. The period averages of USD, EUR and GBP are very different from each other on the 5% level, while the JPY does not at that level. The information technology, pharmaceutical, auto, oil/gas, and textiles/electronics sectors are the most exposed sectors, according to a sector-wise exposure analysis. The results are descriptive and not causal. A key factor to consider is the currency depreciation. This phenomenon can be characterized as a fall in the value of the currency.The fall in the value of the currency is known as currency depreciation. JEL Classification: F31, F32, G15, C22
KEYWORDS
This movement and risk of USD, EUR, GBP, and JPY against INR for the period (2014-2025) has been analysed in this study. The rupee weakened considerably against the USD, EUR and GBP, most notably against the USD, with no significant trend seen against the JPY. The year-to-year movements of the yen were the most erratic, and the risk is measured in ways that are quite different. The coefficient of variation is highest for the USD and lowest for the JPY, but the two risk measures should be interpreted in conjunction. The average rates for USD and EUR vary considerably between all three NDA periods and the GBP is different under ANOVA. Six sectors are clearly exposed with different directional effects and consequences. India's overall exchange-rate risk comes in two forms: a continuing decline in the value of the dollar and volatile fluctuations in the euro, pound and yen. It is important that businesses as well as policy makers are aware of both so that they can control the rupee's vulnerability to foreign exchange fluctuations.
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Publication Date
10/13/2026
Peer Review Type
Double-Blind Peer Review
Review Rounds: 2
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