Re gains 8ps to close at 82.96/$
The dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading 0.45% higher at 103.55
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Mumbai: The rupee appreciated by 8paise to close at 82.96 against the US dollar on Thursday after the government hinted at faster fiscal consolidation and lower borrowings in its interim Budget for 2024-25. However, a strong greenback against major rivals overseas and subdued domestic equity markets restricted the sharp gain in the domestic unit, forex traders said. Finance Minister Nirmala Sitharaman on Thursday hiked capital expenditure by 11 per cent for the next fiscal to sustain a world-beating economic growth rate while trimming the deficit in a reform-oriented interim budget.
At the interbank foreign exchange, the rupee opened at 83.02 against the dollar. During the session, the local unit touched a high of 82.93 and a low of 83.03. Continuing on the fiscally prudent path, the Modi government in the interim Budget refrained from announcing populist measures, which will help it trim the fiscal deficit to 5.1 per cent of the GDP next fiscal and 4.5 per cent in FY26.
