This is not a "real story". This is just a story. Indians earn, save, and spend in INR. This sort of misrepresentation, coming from a professor, seems purposefully creating fear, uncertainty, and doubt. The USD itself has lost ~32% of its purchasing power in the last 15 years. This is because of inflation. Controlled inflation (under 5-6%) is considered normal and even healthy for a growing economy. A fast growing economy like India tends to have higher inflation naturally. In fact, central bankers and finance ministers get worried if inflation drops too low. Focusing only on the nominal USD rate without this context is purposefully misleading. So while INR has lost its purchasing power, it is natural just like the USD has lost its purchasing power. Someone's savings in India, to be used in India, suddenly doesn't become 50% less due to USD/INR rate increase. One day in the coming time, INR will suddenly start appreciating against the USD quickly. Then what will they say? They will change the attack to "inflation" then. These are the same people talking about de-dollarization and USD "crashing soon" as well. So assuming they are right, if suddenly we wake up to 1 USD = 50 INR, did every Indian become twice as rich in the night? Because its GDP and GDP per capita is suddenly 2x now in USD terms? No. The real story is, for those who can understand these things and see the pattern, there's an orchestrated attempt from a large network of anti-establishment types to fear monger and incite Indians to try cause political and economic instability in India.
