Every country has its own form of currency used within its economy. When looking to compare the costs of a good or service from one country to another it is necessary to understand the specific types of currency in both countries. It is also necessary to understand the standards of measure used to calculate the different currency types within each country. To begin with, in order to understand how much $1 billion in American currency is in the Indian rupee, there are some conversions which need to be made.
What is the unit of counting money in the United States?
In the United States, the smallest form of currency is the penny, also known as a cent. There are 100 cents in a dollar. Paper dollar bills come in $1, $5, $10, $20, $50, & $100 increments. Therefore, $1 billion USD is equal to 10 million $100 dollar bills.
What is the unit of counting money in India?
In India, currency is counted in what is known as Lakhs and Crores. To further understand, the way of counting currency in India it is important to know that 1 million is equivalent to 10 Lakh. When you multiple the 10 lakh by 10, you get 10 million. 10 million is equivalent to 1 Crore or 100 Lakh. There are 100 Crore Rupees in 1 billion Rupees.
Before being able to convert one currency to another, it is also necessary to know the current exchange rate from the domestic currency to the foreign currency. As the global economy changes regularly, this number actually changes daily, so there is no definite answer as to the exact equivalence from one currency to another from one day to the next. Some of the factors which affect an exchange rate include political stability in the region, interest and inflation rates, or the leadership within the country. For the purposes of this article, we will be using an estimate based on the current rate at the time the article was written. While the exact number may not be accurate, the way of calculating the problem remains the same.
Converting $1 billion USD into Crore Rupees
Before calculating $1billion USD, calculate $1 million USD. If you look at the current exchange rate, $1 USD is equal to ₹68.01. You need to take this number and divide it by 10 as follows:
$1 million = ₹68.01/10 = ₹6.801
Take this number and add “Crore” after it, to give you ₹6.801 Crore. To then convert $1 billion USD into Indian Rupees, you take the $1 million and multiple it by 100. The result is as follows:
$1 billion USD = ₹6801 Crore Rupees
For another way to determine how much $1 billion USD in Indian Rupees is, would be to complete the following conversion:
$1 billion USD = 100 Crore x 68.01 = 6,801 Crore Rupees
Either conversion will give you the same answer. However, before traveling or conducting business between the United States and India, it is important to double check the exact exchange rates between the USD and INR to ensure you are in fact getting the most accurate information.