Rupee weakens

KARACHI: The rupee ended weaker on Monday due to increased demand for the dollars for import payments, while sentiment was dented after the news Pakistan secured Chinese financing to repay the Saudi loan, which dealers read as likely strain on both the countries’ relations in the times to come.

The rupee lost 33 paisas to close at 160.47 against the dollar in the interbank market. It had settled at 160.14 against the dollar in the previous session. In the open market too, the local unit dropped to close at 160.70 versus the greenback, compared with the Friday’s closing of 160.50.

“There was an uptick in the dollar demand from importers, and the market saw an active trading activity. The reports of providing $2 billion financing from China for Pakistan to repay the $2 billion Saudi loan led to a panic buying of the dollar,” a currency dealer said.