The recent exchange rate forecasts for the Indian Rupee (INR) against the Singapore Dollar (SGD) suggest a cautious outlook due to the INR's significant depreciation and the challenges faced by the Indian economy. As of September 5, 2025, the INR reached a record low of 88.36 per U.S. dollar, primarily due to heightened concerns over potential U.S. tariffs on Indian goods and continued foreign portfolio outflows. Analysts are cautious but forecast that the INR is unlikely to decline further in the near term, estimating it could stabilize around 88.04 by the end of September and aim for around 88.00 within the next year.
The Reserve Bank of India's intervention to stabilize the rupee by selling dollars could be a key factor mitigating further depreciation. However, the Indian economy continues to face pressures, with foreign investments withdrawing significant amounts, totaling $1.4 billion in September alone, contributing to the instability of the INR.
In contrast, the Singapore Dollar appears to be on steadier ground following a decision by the Monetary Authority of Singapore (MAS) to maintain its monetary policy settings as the economy recorded a 1.4% growth in Q2 2025. The easing of global trade tensions has given MAS confidence, although some uncertainty remains regarding future growth projections.
Currently, the INR to SGD exchange rate stands at 0.014551, which is 1.4% below its three-month average of 0.014765, indicating a somewhat stable trading range. The INR has traded in a narrow band of 3.0% from 0.014518 to 0.014948 over this period.
As economic conditions evolve, market participants will need to monitor both the U.S.–India trade relations and MAS's future policy decisions closely, as these developments will significantly impact the INR to SGD exchange rate going forward.
