Indian rupee weakened against the US dollar on Friday as dollar strengthened against a basket of major rivals overseas. The Reserve Bank of India’s (RBI's) Monetary Policy Committee has kept policy rates unchanged once again at its bi-monthly review. The Repo rate has been maintained at 4% while the reverse repo rate is at 3.35%. Policy stance has been maintained at accommodative by the central bank in an effort to maintain liquidity in the system as the country continues to recover from the covid-19 pandemic and its economic implications. On the global front, the US dollar strengthened after upbeat US economic data bolstered expectations over the possible tapering of stimulus measures by the US Federal Reserve.
The partially convertible currency is currently trading at 73.00, weaker by 9 paise from its previous close of 72.91 on Thursday. The currency touched a high and low of 73.1300 and 72.9550 respectively.
