Rupee ends weaker on importer dollar demand

Thursday, 31 August 2017 00:00 -     - {{hitsCtrl.values.hits}}

Colombo (Reuters): The rupee closed slightly weaker on Wednesday as importer dollar demand from foreign banks surpassed the exporter greenback sales, dealers said.

The spot rupee ended at 152.80/90 per dollar, compared with Tuesday’s close of 152.75/82.

“Today there was some demand from foreign banks probably to settle some import bills,” said a currency dealer, requesting anonymity.

The rupee has been under pressure since January after the Central Bank stopped defending the currency and started buying dollars to build up the country’s depleted foreign currency reserves.

The island nation has seen Rs. 27.6 billion ($ 180.69 million) of net inflow into equities up to Wednesday’s close, and Rs. 5.7 billion worth inflows into government securities as of 23 August, official data showed.