Currency: Rupee weakens against dollar

KARACHI: The rupee ended slightly weaker at 90.80/91.00 to the dollar, compared to Friday’s close of 90.86/90. The rupee has been supported by remittances, which rose 20.2% to $10.88 billion in the first 10 months of the 2011/12 fiscal year, compared with $9.05 billion in the same period last year. In April, remittances totalled $1.14 billion. The rupee touched a record low of 91.28 to the dollar in January, dragged down by concerns over higher payments for oil imports and overall economic health. There is also concern about the current account deficit, which widened to a provisional $3.089 billion in the first nine months of  current fiscal year. Overnight rates in the money market ended at 11.90%, the same level as Friday.

Published in The Express Tribune, May 15^th, 2012.