Rupee falls to another all-time low of 96.80

Nepal rupee´s fall has continued unabated with the currency sinking to another historic low against the US dollar. Nepal Rastra Bank, the central bank, has fixed Nepali currency´s exchange rate at 96.80 per US dollar for Friday despite moderate improvement made by the Indian currency. Indian currency ended Thursday at 60.19 as against Wednesday´s close of 60.71 after the country´s current account deficit widened by a narrower margin than expected. Since Nepali currency is pegged with Indian currency any fluctuation in the value to Indian rupee vis-à-vis US dollar affects exchange rates in Nepal. However, Nepali rupee could not gain on Friday despite Thursday´s strengthening of the Indian currency, as Nepal fixes exchange rates for the next day based on trading price of Indian currency with US dollar at 12 noon on that day.