At 10:27 a.m. (0457 GMT), the partially convertible rupee was at 45.09/10 per dollar, weaker than 45.00/01 at close on Wednesday. The unit is expected to move in a 45.00-45.20 range intraday.

"Had there been no ECB inflows, the rupee would have fallen much more. So far we have not seen much dollar buying from oil importers, but that should come a little later which can again weigh on the rupee," said a dealer at a foreign bank.

Typically, companies get dollar funds via ECBs near the close of a fiscal year.

Indian shares dropped 1 percent in early trade on Thursday, as high oil prices sent Asian stocks lower, which raised doubts over sustainability of dollar inflows into the country's equities.

Foreign investors were net sellers of $1.8 billion worth of shares in this year until March 8.

The euro edged lower against the US dollar on Thursday, with further pullbacks seen likely, as worries about how Europe will address its fiscal problems offset expectations of an upcoming rate hike by the European Central Bank.

The index of the dollar against six major currencies was up 0.2 percent at 76.872 points and would be watched for direction during the day. The index had been at 76.686 points when the rupee market closed on Wednesday.

The one-month onshore forward premium was at 27.25 points against 26 points on Wednesday, and the one-year premium was at 276.5 points from the previous 278.25 points.

The one-month offshore non-deliverable forward contracts were quoted at 45.38, weaker than the onshore spot rate.

In the currency futures market, the most traded near-month dollar-rupee contracts on the National Stock Exchange, were at 45.2325, while on the MCX-SX and on the United Stock Exchange they were at 45.2350, with the total traded volume at about $900 million.