The Indian rupee opened lower on Friday on concerns that overseas investors would offloads their local equities holdings following the Satyam fiasco, seen as India’s biggest corporate fraud so far.
The domestic unit opened at 49.22 a dollar but staged a marginal recovery to trade at 49.10/12 in early trades. The rupee had closed at 48.80/81 per dollar on Wednesday All Indian financial markets were closed on Thursday for Moharram.
Shares in Satyam Computer Services plunged nearly 80% on Wednesday after the Indian outsourcer said it had overstated profits for many years. The company’s chairman Ramalinga Raju tendered his resignation after making the mind-boggling confession.