Monday, July 8, 2013

Rupees historically weakest

The Nepali rupee further weakened against the green back today almost to Rs 98.
The central bank has fixed a reference rate at Rs 97.69 against a US dollar for Tuesday due to weakening Indian rupee with which the Nepali rupee has been pegged at Rs 160.
The Indian rupee plunged to 61.21 against a US dollar yesterday hurting the Nepali rupee. The economists have been predicting that the Nepali rupee might continue free fall to over Rs 100 against a Us dollar.
The free fall of Nepali rupees since last three months against the US dollar has been hurting consumers as it will make the imported items dearer, though it will benefit the exporters. But the country has not been witnessing a boost in the exports due to structural weaknesses.
The production cost that is already higher is going to go up as the price of imported raw materials will push it further.

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