KARACHI, Sept 18: Rupee weakened on Thursday because of global financial crisis and concern about tension between Pakistan and the United States over US attacks on militants in Pakistan, dealers said.

Dealers said the rupee was traded at a record low of 77.72 rupees to the dollar and closed at 77.65/75. The previous record low was 77.65 set on Wednesday when it closed at 77.18/23.

“One of the main reasons is the global financial crisis where some foreign banks have been asked to cut down their exposure in Pakistan,” said another currency dealer. The rupee has lost 20.7 per cent against the dollar this year, largely because of a deteriorating balance-of-payments position.

Dealers said the market was also nervous about the situation on the Afghan border after Wednesday’s fresh US missile strike.—Reuters