Rupee ends weaker against dollar

KARACHI: The rupee saw a little decline versus the dollar in both currency markets on Thursday. In the interbank market, the rupee ended the day at 280.05 per dollar, down from 279.97 in the previous session. The rupee also declined in the open market, trading at 281.62 versus the dollar, compared with 281.59 on Wednesday.

Dealers said that the local currency continued to lose ground as dollar demand from importers surpassed the inflows from exporter dollar conversions and remittances. The rupee is anticipated to stay range-bound throughout the coming sessions as traders await the outcome of the International Monetary Fund’s (IMF) $7 billion loan review.

“The IMF review is set to conclude this weekend, after which a summary of recommendations will be released highlighting the action plan going forward. Market participants eagerly await decisions on key issues, including the circular debt resolution plan, potential electricity tariff reductions, and any proposed taxation measures,” said Chase Securities in a note. A successful review, coupled with the disbursement of the next tranche, is expected to serve as a key trigger for the markets, it added.