November 30, 2006	Thursday	Ziqa'ad 8, 1427

KARACHI, Nov 29: The Pakistani rupee edged lower on Wednesday on higher dollar demand from importers, but dealers said healthy dollar inflows were likely to prevent a sharp slide in the rupee's value.

The rupee closed at 60.83/85 to the dollar, down from the previous day's close of 60.79/81.

The rupee fell to a two-year low against the dollar on Nov 20, but bounced back on healthy dollar inflows from Pakistanis working abroad, as well as on exporters' sales.

“There were some payments today, both for oil as well as other imports, which put some pressure on the rupee,” said a dealer at a local bank.

“Dollar demand is likely to persist in coming days but since dollar inflows are healthy, the rupee will remain range-bound.” Another dealer said the rupee was likely to trade in a band between 60.80 and 60.90.

In the money market, short-term rates remained firm and dealers said they were unlikely to fall near-term. Overnight call rates ended at around 9.0 per cent, little changed from Tuesday.—Reuters