MUMBAI, Oct 21 Reuters The Indian rupee was nearly unchanged on Monday as pressure on account of outflows was blunted by dollar offers from staterun banks, with traders expecting the Reserve Bank of India RBI to defend the currency against sharp declines.

The rupee was at 84.07 against the U.S. dollar as of 1030 a.m. IST, compared to its close at 84.0650 in the previous session.

The local unit declined to its alltime low of 84.0775 on Friday, but its losses were contained on account of intervention by the RBI.

The rupee has remained under pressure through much of October due to a sharp pickup in outflows from local stocks and elevated oil prices earlier this month.

While oil prices have since cooled, foreign outflows from local stocks are on track for a record monthly high, having touched 9.2 billion in October so far.

Despite the sharp upswing in outflows, the rupee has outperformed most of its Asian peers this month as routine central bank interventions have prevented sharp losses.

On Monday, staterun banks were spotted offering dollars near 84.07 levels, most likely on behalf of the RBI, a trader at a foreign bank said.

The rupee is likely to stay under pressure through much of the session but it is unlikely that the RBI will let it weaken below 84.10, the trader added.

The RBI39;s interventions are evident from the significant drop in FX reserves, Amit Pabari, managing director at FX advisory firm CR forex, said.

India39;s foreign exchange reserves dropped to…