<h1>Currency hits record closing low as reserve fall and portfolio outflows force possible interventions under foreign exchange regulations</h1> The national currency weakened to a record closing low against the US dollar amid bilateral trade tariff uncertainty, elevated dollar demand from importers and sustained foreign portfolio outflows, prompting intra-day intervention and volatility. The central bank's foreign exchange reserves fell materially in the reporting week, signaling reduced buffer for market support and potential for increased interventions under foreign exchange regulations. Market risks cited include continued FII sell-offs, higher crude prices and policy actions by the US Federal Reserve; regulators may face pressure to deploy reserve management, capital flow measures or guidance under foreign exchange law to stabilize the currency.