The rupee is set to finish the month with a loss of more than 1.5% against the dollar The rupee declined by 23 paise against the dollar to close at 73.68 on Tuesday.
Demand for the greenback from importers amid softening crude oil prices dragged the rupee lower.
A rise in the dollar overseas and weakness in domestic equity markets also impacted the currency, analysts said.
The rupee is set to finish the month with a decline of more than 1.5 per cent against the American currency.
It has depreciated more than 15 per cent so far this year.