India, Dec. 31 -- The Indian rupee slumped 5 per cent in 2025, weighed down by persistent capital outflows from foreign investors and elevated dollar demand from importers, emerging as Asia's worst-performing currency during the year.

On the final trading session of 2025, the rupee depreciated 13 paise to close at 89.88 (provisional) against the US dollar, as month-end demand and foreign portfolio investors' (FPIs) dollar buying kept the currency under pressure.

The domestic unit maintained a negative bias throughout the year, with FPIs pulling out about USD 16.5 billion from equities in 2025, further denting investor sentiment, according to forex traders.

Published by HT Digital Content Services with permission from Dion Global Solution...