If we were to convert rupees into American dollars today, the value would be much lower than expected. However, according to certain reports, there was a time when 1 rupee in our country was supposedly equivalent to 1 dollar.

During British rule, the country was fragmented into multiple states, each with its currency. It was only after gaining independence that a unified currency was established and implemented nationwide. As of October 17, 1 dollar is equivalent to 83.21 rupees.

A report by thomascook.in suggests that many believe, during independence, 1 rupee held the same value as 1 dollar. There are various arguments supporting this belief. One commonly held view is that due to the absence of a metric system, all currencies were of equal value. Another argument claims that since India was under British rule at the time, the Indian rupee held a higher value compared to the dollar because the pound sterling was stronger than the dollar.

However, calculations show that 1 pound was equivalent to Rs 13.37 before independence, which would imply a value of Rs 4.16 to a dollar. Nevertheless, the report states that at the time of independence, 1 dollar was purportedly equivalent to Rs 3.3.

The history of the exchange rate between the dollar and the rupee dates back to 1944, with the passing of the Bretton Woods agreement. This agreement standardised the value of global currencies. According to the website, the value of the rupee has steadily declined since independence. By modern metric standards, in 1913, the value should have been Rs 0.09 for 1 American dollar. By 1970, however, it had reached Rs 7.50 to 1 dollar.

Official records affirm that 1 rupee was never equal to 1 dollar. During independence, India transitioned to the international metric system, thereby altering the value of the rupee.