The India rupee rose 0.5 percent on Monday after suffering continuous losses linked to the uncertainties in the global economy.

The partially convertible rupee was at 51.98/99 per dollar compared to Friday's close of 52.23/24. The rupee rose on indications that the Indian government will take more steps to support the rupee and push more Euro.

The rupee also got strength from hints that the European authorities will be able to address the problems and utilize the euro zone bail-out fund. Foreign exchange dealers said that the gains should be short term as there is still uncertainty in the global economy.

Positive performance by some Asian and domestic shares helped reduce pressure on Rupee, which has become the worst performing currency in Asia in recent months. The benchmark index of the Bombay Stock Exchange
(BSE), Sensex rose about 2 percent following gains in other Asian markets.

The rupee has fallen 16.83 percent from its strongest point in 2011 and has touched its lowest 52.73 on Tuesday previous week. The RBI has started taking steps to help the rupee and has sold dollars to shore-up the currency.