Exchange Rate Calculator

The exchange rate between the Indian Rupee (INR) and the Swedish Krona (SEK) has experienced notable fluctuations over the past few months. This report analyzes the recent trends, underlying factors influencing these movements, and provides insights into the future outlook of the INR/SEK currency pair.

Recent Exchange Rate Trends

As of July 1, 2025, the INR/SEK exchange rate stood at 0.1104, indicating that one Indian Rupee was equivalent to 0.1104 Swedish Krona. This reflects a depreciation of the Indian Rupee against the Swedish Krona over the past six months. In January 2025, the exchange rate was approximately 0.1302, marking the highest point for the year. By June 17, 2025, the rate had declined to its lowest at 0.1100, representing a decrease of about 15.5% from the January peak. (exchange-rates.org)

Factors Influencing the Exchange Rate Movements

Several factors have contributed to the observed fluctuations in the INR/SEK exchange rate:

1. Economic Performance and Monetary Policies: The economic growth rates and monetary policies of India and Sweden significantly impact their respective currencies. If Sweden's economy outperforms India's, or if the Swedish central bank adopts a more hawkish monetary policy compared to the Reserve Bank of India, the SEK may strengthen against the INR.

2. Inflation Rates: Differing inflation rates between the two countries can affect the exchange rate. Higher inflation in India relative to Sweden can erode the purchasing power of the INR, leading to its depreciation against the SEK.

3. Trade Balances: The trade balance between India and Sweden influences currency demand. A trade deficit in India with Sweden implies higher demand for SEK to pay for imports, which can weaken the INR.

4. Global Economic Conditions: Global economic events, such as changes in commodity prices, geopolitical tensions, and shifts in investor sentiment, can lead to capital flows that impact the INR/SEK exchange rate.

Comparative Analysis with Previous Years

Comparing the current year's performance with previous years provides additional context:

• 2024: The INR/SEK exchange rate exhibited relative stability, with minor fluctuations around an average of 0.125.

• 2023: The exchange rate was higher, averaging around 0.130, indicating a stronger INR relative to the SEK during that period.

The downward trend observed in 2025 suggests a shift in economic dynamics between the two countries, possibly due to differing economic growth rates, inflationary pressures, or changes in trade balances.

Future Outlook

Predicting future exchange rate movements involves considering various economic indicators and potential developments:

• Economic Growth Projections: If India's economy is projected to grow at a faster pace than Sweden's, the INR may appreciate against the SEK.

• Monetary Policy Decisions: Future decisions by the Reserve Bank of India and the Swedish central bank regarding interest rates and monetary policy will influence the exchange rate.

• Inflation Trends: Monitoring inflation rates in both countries will provide insights into potential currency movements.

• Global Economic Events: Unforeseen global events, such as financial crises or geopolitical developments, can cause sudden shifts in exchange rates.

Conclusion

The INR/SEK exchange rate has experienced a notable decline over the past six months, influenced by various economic factors and global conditions. Understanding these dynamics is crucial for businesses and investors engaged in transactions between India and Sweden. Continuous monitoring of economic indicators and policy decisions will be essential in anticipating future movements in the INR/SEK exchange rate.