Rupee extends losses

KARACHI: The rupee extended losses against the dollar for the second straight session on Tuesday, dealers said.

The rupee closed at 160.61 against the dollar, compared with Monday’s closing of 160.52 in the interbank market.

In the open market, the local unit ended at 160.70 against the greenback. It had closed at 160.60 in the previous session.

“There were some import payments today, which pushed the demand for the dollar higher,” a currency dealer said.

Dollar inflows from remittances, exports, and Roshan Digital Accounts from overseas Pakistanis and the current account surplus helped the rupee remain steady in the recent days, but a sudden dollar demand from importers and companies put slight pressure.

The decline in the foreign direct investment flows also hurt the traders’ sentiment.

Pakistan’s foreign direct investment fell 30 percent to $953 million in the six months of this fiscal year.

Dealers said they expected the rupee to weaken marginally in the coming sessions, owing to the ongoing bout of demand pressure.