<h1>Indian rupee likely to bounce back strongly in second half of next fiscal amid tariff-driven pressures.</h1> The rupee entered a depreciating regime largely due to a 50% US tariff shock, reduced portfolio inflows and elevated geopolitical risk; RBI interventions of around USD 18 billion and declining foreign exchange reserves have been used to curb volatility. The study projects an exit from the depreciating regime and a strong rupee rebound in the second half of the next fiscal, contingent on normalization of trade expectations, easing of portfolio outflows, and continued central bank market operations.