Currency risk for India FIRE arises when you earn, save, or hold assets in a foreign currency (e.g., USD) but plan to spend in rupees. Rupee depreciation can boost the value of foreign assets when converted to INR—but appreciation can reduce it.

Scenarios

• Earn abroad, retire in India — You convert USD to INR over time; rupee weakness helps, strength hurts.
• Invest in India, retire abroad — Reverse risk; INR strength helps if you move.
• Diversified portfolio — Some hold global equity (USD); currency adds volatility.

For FIRE

If your corpus is in USD and you’ll spend in INR, factor in historical INR depreciation (roughly 3–4% per year vs USD over decades). Don’t bet the farm on currency—diversify across geographies and consider inflation in India when planning. See India vs US FIRE for a fuller comparison.