Why are Indians in the UAE rushing to send their money home now?
The Indian rupee's fall against the UAE dirham has prompted a sharp rise in remittances from Indian expatriates in the Gulf, especially in the UAE and Saudi Arabia. With the rupee slipping to around ₹23.5 per
AED
, its weakest level since early April, many non-resident Indians (NRIs) are rushing to send money home, according to a report by
Gulf
News.
Currency exchange houses across the Gulf have reported a clear spike in
AED-INR
transactions since Thursday, June 19. According to industry officials, expats aren't waiting for further dips in the exchange rate — they are remitting immediately wherever spare cash is available.
'Last Thursday was one of the best days in recent weeks for AED-INR remittances,' said a senior official at a UAE-based exchange house to Gulf News. 'Even though the rupee briefly strengthened to 23.46, most expats continued to send funds.'
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June usually sees a dip in remittance volumes as many Indian expats face added summer travel and vacation expenses. But the current exchange rate has changed the pattern, with volumes holding steady through the weekend and expected to remain strong until Monday.
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Exchange house officials say that if the rupee remains weak or falls further into July, remitters will continue to benefit. 'It's a double win if the rates stay where they are or dip again,' one official added.
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The surge comes despite geopolitical uncertainty, including conflict between Israel and Iran. Traditionally, such events would push investors towards the US dollar as a safe haven. But this time, gold has taken that role while the dollar remains soft, supporting the rupee's relative strength.
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