Still, $244 million per aircraft is a lot of money. Why does Rafale cost so much? Exchange rates almost certainly play a role. And in addition to the plane itself, there's also a need for support and maintenance equipment and munitions. Part of the problem with Rafale is that aside from Paveway laser-guided bombs, it uses mostly French weapons that are incompatible with the rest of India's stockpile.
India is only the third international customer for Rafale. While the fighter has been on the market for decades, Rafale's first overseas sale happened just recently when Qatar bought 24 planes and Egypt followed shortly thereafter.