UAE residents send up to 3 times money to India as rupee plunges
It was well-timed too as the rupee plummeted to its all-time low against the UAE dirham, prompting a rush among Indian residents in that country to send money home.
With the rupee touching about Rs 24. 5 per Dh1, Indian residents said they ended up with more Indian currency than normal while exchanging dirhams, which is coming in handy as they pay school fees and household bills.
Sales agents noted an increase in remittances as people took advantage of the exchange rate. Other residents also said they sent greater than normal amounts because they did not want to miss out.
Arif Khan, a sales executive based in Sharjah, said he generally sends Dh1,200 to Dh1,500 every month to his family in Lucknow.
“But when I saw the rupee eroding so much, I immediately sent Dh4,500,” he said. “We got enough for almost three months of grocery shopping and daily expenses in rupees. My wife said it felt like a present.”
School fees covered
Anthony Varghese, a Dubai resident who works as a Marketing head for an FMGC company, said he was shocked by how much difference the rate made — it was like “an early Christmas gift”.
“I normally send Dh2,000 per month,” said Varghese. “This time, I sent him Dh3,000 for which we received almost Rs8,000 more than last month due to the rate. That extra bit allowed us to pay my daughter’s school bus and tuition fee. “I didn’t think exchange rates would make such a difference.”
Electricity bill paid with extra remittance
The higher rate meant instant relief for Sharjah resident Farooq Ahmed, a mechanic.
“I sent Dh1,500 this month instead of Dh900,” he added. “My family got Rs36,250 and around Rs4,500 extra. That difference covered our electricity bill and the cost of a gas cylinder. This is very supportive for a middle-income family.”
A third, Muhammad Faisal, a taxi driver in Sharjah, spoke over the phone WhatsApp after withdrawing the money at an outlet of Redha Al Ansari Exchange and said that for the first time in months he had sent funds home without fretting about additional fees from banks.
“This time I was able to send Dh30,000 instead of the normal Dh20,000,” he said. “My family could enjoy a winter break in Shimla and would still have money to spare.”
Growing expenses
Though the weak rupee has become a surprise boon for many of the Indians in the UAE, costs are skyrocketing back home too.
The higher rate is a blessing, said Faisal, “but it doesn’t mean our families suddenly have more money to enjoy. Yes we are making more money in India but the monthly expenditure in my country keeps going up too.”
Every month, the money gets used up pretty quick because prices in India have gone up too,” Ahmed said.
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