The rupee ended 0.19% weaker at 134.75 per dollar compared with Wednesday’s close of 134.50, the previous all-time low.
“There was huge pressure on the rupee due to heavy importer dollar demand,” a dealer said on condition of anonymity.
“Exporters are not converting because holding in dollars for them is cheaper in a lower interest rate regime.”
The benchmark 91-day t-bill yield on Wednesday hit a more than five-month high of 6.79%.
The market had expected the Central Bank to allow the rupee to depreciate further, in line with other regional currencies that have declined against the dollar.