Indian Rupee ended higher against the US dollar on Wednesday after the Reserve Bank of India (RBI) hiked the repo rate by 25 basis points. A rally in the domestic equity markets also supported the rupee. Sentiments were upbeat after Reserve Bank projected India's economic growth at 6.4 per cent for 2023-24, broadly in line with the estimate of the Economic Survey tabled in Parliament last week. Besides, the Reserve Bank projected retail inflation to ease to 5.3 per cent in next fiscal from 6.5 per cent this year on assumptions of lower imported inflation, even though core inflation remains sticky. On the global front, rouble weakened on Wednesday, sliding to a one-month low against the dollar as market demand for foreign currency overpowered government sales, while stocks headed lower on proposals for a one-time windfall tax on big businesses.
Finally, the rupee ended at 82.51 (Provisional), stronger by 19 paise from its previous close of 82.70 on Tuesday. The currency touched a high and low of 82.72 and 82.47 respectively.