India, March 1 -- The depreciation in the value of the Indian rupee in 2025 is significantly being impacted by the shifts in Reserve Bank of India's (RBI) policy for currency management, according to a report by the Union Bank of India.

In the first two months of 2025, the rupee's value against the US dollar has dipped more than half of the total depreciation that the currency saw in the whole of 2024.

It has fallen 1.8% so far in 2025 against the US dollar. This compares to a 1.5% dip in its value in the whole of 2023 and a 3% dip in its strength in the whole of 2024.

The report noted that the change in stance is largely due to RBI Governor Sanjay Malhotra's statement that the central bank is open to more flexibility in the price of t...