Indian rupee marks record closing low on strong dollar; seen weakening further
The Indian rupee ended at a record closing low against the dollar on Monday as continued foreign portfolio outflows from domestic stockmarkets and a broadly stronger greenback weighed on the currency despite intermittent dollar selling intervention, Reuters reported.
The partially convertible rupee closed trading at 79.4375/4475 per dollar in the local session at 1000 GMT, compared to its close of 79.25 on Friday. The unit touched a lifetime low of 79.44 during the session, surpassing its previous low of 79.3750 touched last week.
The Reserve Bank of India (RBI) announced an array of measures last Wednesday to bring in dollars, including allowing overseas investors to buy short-term corporate debt and opening up more government securities under the fully accessible route.
"These measures would ease some pressure on the rupee in the near term. However, a widening trade deficit and continued FPI outflows will continue to weigh on the INR," said Sachchidanand Shukla, chief economist at Mahindra Group.
Indian shares fell as IT services major Tata Consultancy Services (TCS.NS) dragged down technology companies after posting weak results last week.
Foreign portfolio investors (FPI) have sold shares worth nearly $30 billion so far in 2022 with traders fearing more outflows if a global recession were to kick in, according to Reuters.
The dollar was on the front foot at the start of a week in which US and Chinese data and European energy security were top of mind, as investor concerns about global economic growth offered support to the safe haven currency.
Traders said the RBI was spotted selling dollars via state-run banks sporadically to brake the decline in the rupee but the direction of the currency is unlikely to be altered any time soon.
The rupee is likely to be still trading near its historic low in three months' time, battered by widening trade and current account deficits, according to a Reuters poll where nearly one in three analysts expected it to weaken to 80 per dollar by September, Reuters reported.
Matihani invites Balen to visit his home district
Mayor of Kathmandu Metropolitan City Balen Shah has been invited for a friendly visit by the Matihani Municipality of Mahottari district, which is also the home district of Shah.
Hari Prasad Mandal, mayor of Matihani met Shah and extended his invitation. Shah also expressed his desire to visit Mahottari. The meeting was arranged by Ashutosh Karn where both of the mayors discussed future coordination between two cultural cities.
Mandal presented a photo of Laxminarayan Temple of Mahottari to mayor Shah while Kathmandu's side gave a statue of Lord Ganesh as a token of love.
NC meeting: Province presidents urge leaders to set criteria for electoral alliance
Nepali Congress province presidents urged party leaders to set criteria for an alliance in the forthcoming elections.
During the Central Executive Committee meeting that started at the party office in Sanepa from today, they suggested leaders to forge a necessary alliance, giving continuity to the coalition in the elections.
Some were of the opinion that it would be appropriate for the Nepali Congress to contest the elections alone.
The Local Level Election Central Mobilization Committee presented a report of local level elections in the meeting.
During the meeting, leader Shekhar Koirala urged the party president to hold a policy convention at the earliest, saying that the 14th general convention only selected the leadership but could not work on formulating the policies.
Central members Koirala, Pradeep Paudel, Dev Raj Kandel, Dila Sangraula, Krishna Kishor Ghimire, Narayan Bahadur Karki, Taraman Gurung, Dinesh Kumar Yadav, Nain Singh Mahar, Guru Baral and Dinesh Koirala among others floated their opinion in the meeting.
Chinese Communist Party leader Liu calls on CPN (MC) Chairman Dahal
Visiting Chinese Communist Party International Liaison Department head Liu Jianchao held a meeting with CPN (Maoist Centre) Chairman Pushpa Kamal Dahal at the latter’s residence in Khumaltar on Monday.
He arrived in Kathmandu at a time when Beijing had been expressing concern over the growing anti-China activities in Nepal in recent times.
China sent Liu as an envoy to unite all the Communist parties.
He paid courtesy calls on Prime Minister Sher Bahadur and Foreign Minister Narayan Khadka on Sunday.
Similarly, the Chinese leader also extended an invitation to Prime Minister Deuba to visit China.
Leading an eight-member delegation, Liu arrived in Kathmandu on a four-day visit to Nepal on Sunday.
