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<h1>Rupee depreciation reflects dollar demand and trade pressures; RBI says it doesn't target a specific exchange rate and prioritises financial stability.</h1> The central bank does not target any specific exchange-rate level; recent rupee depreciation reflects increased demand for US dollars and trade-related factors, while foreign exchange buffers remain adequate. The RBI prioritises financial stability and is simplifying regulations where possible without compromising safeguards, and links currency pressure to trade tensions and current-account effects.