Currency
Nepali currency dropped 26 paisa against a US dollar this week, rendering imports expensive, but raising exports income and remittances. A dollar was exchanged at Rs 74.86 on Friday.
Nepal Rastra Bank, the monetary authority, had fixed the exchange rate of a dollar at Rs 74.60 on Sunday. On the back of dollar slipping against Indian currency, with which Nepali rupee is pegged, Nepali currency gained 20 paisa on Monday and further 7 paisa on Tuesday. However, this trend fast reversed and rupee slipped by 15 paisa on Wednesday and further shed 58 paisa against a dollar by Friday.
Likewise, rupee weakened also against the euro by 53 paisa and pound sterling by 61 paisa this week. On Friday, a euro was exchanged at Rs 111.39, while a pound sterling was exchanged at Rs 124.77. Going by the open market exchange regime, the rate varied marginally among the commercial banks.
Bullion
Gold prices continued its upward movement and touched Rs 27,735 -- a new high -- in the domestic market on Friday. Through this week, the yellow metal became expensive by Rs 68.5 per gram and gold dealers attributed the rise to sharp rise in the international prices of gold.
Nepal Gold and Silver Dealers Association, which sets domestic prices of gold based on the price movement at New York COMEX House, had opened the market at Rs 27,050 per 10 grams on Sunday. As the international prices increased, gold became dearer consistently over the following days. On Tuesday, gold became expensive by Rs 50 per 10 grams, and the prices further jumped by Rs 290 per 10 grams by Wednesday and additional Rs 240 on Thursday. On Friday also, it had recorded an overnight jump of Rs 85 per 10 grams.
The price of silver also soared to Rs 452.50 per 10 grams on Friday in the domestic market. As Nepal fulfills domestic bullion requirements through imports, any fluctuation in international prices directly impacts the domestic prices.
Related story
Gold price rises by Rs 500 per tola, reaches all-time high of R...
