Rupee weakens

KARACHI: The rupee extended losses against the dollar on Friday as it was hit by heavy demand for the greenback from importing companies, while debt payments also weighed on the domestic currency, dealers said.

In the interbank market, the rupee fell to 166.63 to the dollar against 166.35 on Thursday. It dropped as low as 167.15 in an intraday trade. The rupee closed at 166.80 against the dollar in the open market, compared with previous close of 166.90.

Dealers said a continuing bout of corporate demand and the International Monetary Fund (IMF) loan repayments pushed the rupee down.

“The buyers came to the market after the government enforced selected lockdown on the hotspots of the city to flatten the curve of the COVID-19," said a currency dealer.

“The country has to make a $60 million worth of debt payment to the IMF against the Extended Fund Facility on June 20. This along with weak supplies exerted pressure on the rupee.”