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Anon makes games
(sh.itjust.works)
This is a place to share greentexts and witness the confounding life of Anon. If you're new to the Greentext community, think of it as a sort of zoo with Anon as the main attraction.
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Or they could have gone with the actual japanese word for ruby instead of picking a word that sounds identical to a real-world currency.
There isn't a native word AFAICT, it's a loan word. But taking real things and making a slight change to be something new is pretty common for games. For example, final fantasy uses "Gil," which is abbreviated "G" and probably comes from "gold" (gil - > gold is a pretty easy jump), though the in-game explanation is different (name of in-game ruling family).
I think it's highly likely Miyamoto didn't know about the Indian rupee.