Indian rupee falls to 19.44 per UAE dirham, 71.40 per US dollar
Asian currency is again showing signs of weakness; more declines expected?
Highlights
- After recovering over the last several weeks, the Indian rupee is again showing some signs of weakness
- Asian currency falls to 19.44 per UAE dirham and 71.40 against the US dollar
- There have been speculations that more declines are expected for the rupee before the end of the year
Dubai: The Indian rupee weakened again on Monday, as the US dollar strengthened amid strong demand.
The Asian currency fell 59 paise to 71.40 against the American currency in early trade at the interbank foreign exchange.
In local terms, a rupee is now worth 19.44 per UAE dirham, the lowest in weeks. Analysts have attributed the weakness to high demand for US dollars from importers.
The rupee had earlier taken a serious beating from the greenback, plummeting to more than 20 against the UAE dirham in October and later recuperated to just above 19 per dirham. Analysts had said the currency could fall further and hit 27 per dirham.
On Friday, the rupee recuperated by eight paise to close at 70.82 against the US dollar, but the currency is again facing pressure from rising crude oil prices and foreign fund outflows, among others.
The currency’s previous weakness was partly attributed to higher crude oil prices. It’s been considered the worst performing currency among the fast-growing Asian economies this year.
With inputs from PTI