Exchange Rate For Australian Dollar To Indian Rupee
Introduction
The exchange rate for Australian Dollar to Indian Rupee has been fluctuating since the beginning of the year. The COVID-19 pandemic has caused many changes in the global economy, which has affected the exchange rates of various currencies, including the Australian Dollar and Indian Rupee.
Factors Affecting the Exchange Rate
There are several factors that affect the exchange rate of Australian Dollar to Indian Rupee. One of the primary factors is the demand and supply of the currencies. If there is more demand for Australian Dollars compared to Indian Rupee, the exchange rate will increase and vice versa.
Other factors that affect the exchange rate include political stability, economic growth, inflation, and interest rates. Political stability and economic growth in a country can increase the demand for its currency, which can result in an increase in the exchange rate.
Inflation and interest rates also play a crucial role in determining the exchange rate. Higher inflation rates can decrease the value of a currency, while higher interest rates can increase the demand for a currency, resulting in an increase in the exchange rate.
Current Exchange Rate
As of August 2021, the exchange rate for Australian Dollar to Indian Rupee is approximately 56.87 INR for 1 AUD. However, this rate is subject to change based on the aforementioned factors that affect the exchange rate.
Impact on Trade and Investment
The exchange rate has a significant impact on trade and investment between countries. A weaker Australian Dollar can make Australian exports cheaper, resulting in an increase in demand for Australian goods and services. On the other hand, a stronger Australian Dollar can make imports cheaper, resulting in an increase in demand for foreign goods and services.
Similarly, a weaker Indian Rupee can make Indian exports cheaper, resulting in an increase in demand for Indian goods and services. A stronger Indian Rupee can make imports cheaper, resulting in an increase in demand for foreign goods and services.
Conclusion
The exchange rate for Australian Dollar to Indian Rupee is subject to various factors, including demand and supply, political stability, economic growth, inflation, and interest rates. As of August 2021, the exchange rate is approximately 56.87 INR for 1 AUD. The exchange rate has a significant impact on trade and investment between countries, making it essential to monitor and analyze the exchange rate regularly.