H&M of Sweden and Uniqlo of Japan say they will postpone opening their first stores in India.

The two brands cited volatile foreign exchange on the back of a declining rupee and weak domestic economic sentiments as the factors for their delay.

But both companies say they remain committed to the Indian market.

Uniqlo originally planned to open its first store in India in 2014, however, it now says it will wait until the economy stabilises.

It has reportedly started letting go some locations it had reserved for store openings.

Both companies say they will await the outcome of national elections before commenting on the timing of their openings.