The Nepali rupee has further depreciated to new low against dollar as Nepal Rastra Bank has fixed the exchange rate at Rs. 102.05 a dollar for Wednesday.
The exchange rate was fixed at Rs. 100.60 per dollar for Tuesday. The Indian rupee with which the Nepali currency is pegged depreciated to IRs. 62.49 per dollar on Monday.
The Indian rupee continued to depreciate on Tuesday touching the new low of IRs. 64.11 a dollar.
The exchange rate fixed by the commercial banks in Nepal may be higher from that of the central bank as there's a system of increasing the buying and selling rates by the banks.
On Monday, the Indian currency dipped to record low to IRs. 62.49 per dollar. The Nepali currency is pegged with IC devaluation as the transaction rate of Nepali rupee is fixed at Rs. 160 for IRs. 100.
As the foreign investors are pulling their investment out of India due to economic concerns, the value of Indian rupee has been depreciating against the US dollar.
International investors have so far withdrawn US$11.58bn in shares and debt from India's markets since the beginning of June, the BBC said citing official data. Nepalnews.com
