KARACHI: The rupee declined to record levels against the greenback on Thursday as it fell a further 3.40 in the interbank market and was being traded at Rs165, Aaj News reported.

The dollar has Rs6.33 in the past three days as a back-to-back reduction in interest rates catalysed foreign capital flight from Pakistan's debt market.

On Wednesday, the rupee had fallen 1.63% or Rs2.60 versus the dollar to close at Rs161.60. It had closed at 159 to the greenback in the previous session.

In open trade, the rupee had fallen Rs1.50 to end at Rs160 per dollar.