Hi Sinestra,
Currencies keep fluctuating. Should we take into account the conversion rate on which the DD is made and make the DD accordingly in INR? Afterwards if the value of INR increases or decreases, its not our headache. Isn't It?
http://www.canadainternational.gc.ca/india-inde/visas/fees-frais.aspx
Text of interest pasted below:
Right of Permanent Residence Fee (RPRF)
Applicants for permanent residence can pay the Right of Permanent Residence Fee ($490) at the time they submit their application or at a later date when requested. The processing fee is still required when submitting an application.
The following applicants are not required to pay the RPRF:
dependent children of a principal applicant or sponsor, a child to be adopted, or an orphaned brother, sister, niece, nephew or grandchild;
protected persons, including Convention refugees.
Payment of Fees
Fees are payable in Canadian dollars or Indian Rupees. Only bank drafts (demand drafts) or certified cheques are accepted; cash is not accepted for fee payment. The bank draft should be made for the exact amount and in favour of "Canadian High Commission" or "Receiver General for Canada" payable at New Delhi.
My recommendation.. Pay it in INR. That way it will be easier for you to track if the DD has been encashed or not.