MUMBAI: The Indian rupee rose to a one-week high to post its first weekly gain in three, helped by favorable flows and rising confidence over the country’s defense against any emerging market outflows.

The rupee ended at 62.2825/2925 per dollar, compared with Thursday’s close of 62.365/375.

It gained 0.6 percent in the week, snapping two weeks of losses, to post its biggest gain since Dec. 6.

The rupee is seen less vulnerable to emerging market selling after authorities slashed the current account deficit and raised currency reserves.

The strong response to the government’s auction of mobile spectrum is also improving confidence about the fiscal deficit target.

Flows have also helped the rupee. The rupee on Friday benefited as dealers are also awaiting inflows from Vodafone Group Plc’s $1.6 billion deal to buy out its minority partners in its Indian unit.

The government will also report factory output and industrial data next week.

Reserve Bank of India governor Raghuram Rajan has said he will keep rates steady if inflation continues to ease as expected.

In the offshore non-deliverable forward, the one-month contract was at 62.61, while the three-month was at 63.48.