MUSCAT : The Arabian Stories (TAS) spoke to market experts who attributed the slump primarily to lingering uncertainty surrounding a potential India-U.S. trade deal and recent weak quarterly results from major Indian firms.

According to one local exchange market source, the market closed today, July 30, 2025, at an exchange rate of 227.05 Omani Rials to the Indian Rupee, with an intraday high of 227.28.

“The rate fall is mainly due to two reasons: the likelihood of US President Trump imposing higher tariffs on India, and the weak quarterly results of major Indian firms,” he told TAS, providing insight into the market’s reaction.

The apprehension around the trade deal intensified after U.S. President Donald Trump hinted at the possibility of imposing tariffs ranging from 20-25 percent on Indian goods, just ahead of the August 1, 2025 deadline for a reciprocal tariff agreement.

Trump’s comments have cast doubt on the finalisation of a bilateral trade deal. For when asked by reporters whether the deal was completed, Trump responded, “No, it’s not,” confirming market fears. And when asked about reports that India is preparing to face higher US tariffs, he is quoted to have replied: “I think so”.

Analysts suggest that if the U.S.-India trade discussions fail or face further delays, Indian exporters could face renewed pressure, exacerbating the rupee’s challenges. Conversely, a breakthrough in the negotiations could offer a much-needed boost to the Indian currency.

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