Currency: Rupee weakens against dollar

The rupee ended weaker 106.44/106.49 against the dollar, compared to Wednesday’s close of 106.41/106.46.

KARACHI:
The rupee ended weaker 106.44/106.49 against the dollar, compared to Wednesday’s close of 106.41/106.46. Heavy debt repayments to the IMF have been putting a dent in the central bank’s reserves, which have declined nearly 20% in the current fiscal year, putting pressure on the rupee. The last IMF repayment of $260 million was made on June 28, 2013. Monthly average of remittances for July-May this fiscal year came to $1.16 billion compared to $1.097 billion in the same period a year ago. Overnight rates in the money market decreased to 7% from Wednesday’s close of 9.4%.


Published in The Express Tribune, October 25th, 2013.

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