The rupee continued its downward slide on Monday as it depreciated over 55 paisas against the dollar during the early trade in the interbank market.
The dollar was seen as high as 164.00/164.10 before falling to 163.85/163.95. On the last trading day, the rupee closed at 163.45.
It is predicted that pressure on the local currency will be released due to the strong remittance inflows.
Nevertheless, a few offsetting factors may provide some relief such as projected strong remittance inflows that might support the local currency to release some pressure.
In a tweet, Asad Rizvi, Former Treasury Head-Chase Manhattan Bank said, “This is an important week as release of Remittances data will set the FY22 tone.”
“I do not see inflow slowdown. July remittances numbers are critical because of long M/E holidays due to Eid-al-Adha. Anything around $2.5bn plus will set the ball rolling,” he added.
