Indian rupee ended flat on Thursday due to mild dollar demand from banks and importers. Traders took note of report that Minister of State for Commerce and Industry Som Parkash informed the Lok Sabha that in the last six financial years (2014-20), India has received FDI inflow worth $358.30 billion which is 53 per cent of the FDI reported in the last 20 years ($681.87 billion). Meanwhile, rating agency Moody's stated that India's fiscal deficit projections are higher than expected and slower consolidation will constrain its fiscal strength over the medium term. It also expects India's nominal GDP growth to rise to closer to 17 percent in fiscal 2021, higher than 14.4 percent projected in the Budget. On the global front, pound fell to its weakest in two and a half weeks against the dollar on Thursday before a Bank of England meeting on caution about the possibility of negative rates.
Finally, the rupee ended unchanged from its previous close of 72.96 on Wednesday. The currency touched a high and low of 72.96 and 72.90 respectively. The reference rate for the dollar stood at 72.93, and for Euro stood 87.81 on February 03, 2021. While the reference rate for the Yen stood at 69.44, the reference rate for the Great Britain Pound (GBP) stood at 99.57.
