India rupee declined to its all time low level of rs. 14.35 Against the Dirham. The local unit plunged to 52.50 against the greenback as foreign exchange markets opened, causing further problems for the RBI as it tries to rein in near double-digit inflation.
NRIs earning in US dollars (or dollar-denominated currencies such as the dirham, riyal or dinar), have got a salary hike (in rupee terms) of almost 18 % since the beginning of the year and an even steeper 20 % since August 2, 2011.
Still, a falling rupee – hurts as it does India’s economy as imports into India become expensive – is an opportunity for NRIs to benefit from the most favorable exchange rate ever.
Options for NRI peoples to Investments in India:-
- Transfer of Funds
- Explore fixed Income options – Indian Banks offers attractive deposit rates on fixed deposits around 10% per annum.
- Prepay home loans – NRI have taken home loan with Indian banks for invest in properties in India.
- Invest in Indian Equities – The Indian stock market is already undergoing a correction, and could easily fall another 10 to 15 % from here on. Global ratings agency Moody’s recently downgraded the country’s banking sector while its peer Standard and Poor’s has warned that India’s inadequate infrastructure is a major block to growth push.
- Purchase a Dream Home – It’s a Another good option of Investment. Properties in most metro cities in India are becoming overpriced and that real estate values in India could fall in the near future as economic growth slows down due to a lack of export demand coupled with domestic affliction.