The strain of weak local equities, dollar demand from importers and banks and a strong US currency abroad and capital outflows added burden to the rupee.
On Monday, the Lok Sabha (lower house of Parliament) passed a $20 billion Food Security Bill to provide cheap grain to the poor.
The drop is raising amongst analysts over the country's already bruised deficit situation.
Finance Minister Mr. P Chidambaram noted that the 'fiscal deficit will be contained at 4.8 per cent of GDP even post dishing out subsidies for the Food Security Bill', reports say.
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