SGD INR: Implied Exchange Rates

Its been a while since I posted and SGD INR has gone on a see-saw ride since then :). People holding SGD against INR were taken aback the quick fall from 45 to 42 in a matter of days.

As always I stick to the strategy to convert and invest in Indian NRE accounts if you are happy with a 9% yield and have a time frame of atleast 1 year.

Here is the chart that gives the implied SGD INR rate based on Interest rates…Rule of the thumb is to convert whenever the Exchange rate stays above the Red line.

The current implied rate is 42.30Rs/$, which also is a strong support for the pair.

Having said that if Indian Govt follows reforms aggresively INR is bound to appreciate and the pair would breach the line downwards.



2 thoughts on “SGD INR: Implied Exchange Rates”

  1. Hmm. Not too sure but it seems possible the sgd could hit the I dollar is 50 rupees mark as Singapore hopes to bring itself to 1:1 to the American dollar, I guess it could see saw now and then but ultimately the sgd should be a good bet.


    1. Hitting is one thing sustaining is another…Rupee Hit 57 against USD but then what happened? Odd market events are always possible but those are market abbertions not the norm.

      What will happen to Singapore’s trade based economy if the currency is so strong is a bigger question. Already companies are moving out of singapore due to high costs


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