Rupee depreciates 51 paisas to a document low in opposition to US greenback

Rs500 notes will be seen on this AFP image.
  • Native foreign money closes at Rs169.6 in opposition to the buck on Monday.
  • The rupee has cumulatively shed 11.38% since Might 14.
  • Samiullah Tariq says “As a consequence of larger commodity costs […] and unsure scenario in Afghanistan, demand for US greenback is larger than provide.”

KARACHI: The Pakistani foreign money did not proceed its stability section because it misplaced Rs0.51 and closed at an all-time low of Rs169.6 in opposition to the US greenback within the inter-bank market on Monday.

Based on the info launched by the State Financial institution of Pakistan (SBP), the foreign money final touched a document low of Rs169.12 on September 15.

The native foreign money is depreciating attributable to a rise in demand for {dollars}, as imports are surging.

With a contemporary of 0.31%, the rupee has cumulatively shed 11.38% (or Rs17.33) since its latest excessive of Rs152.27 recorded on Might 14.

In the meantime, the foreign money misplaced round 7.65% or Rs12.06 since June 2021.

Rupee-dollar parity curve. — Twitter/@ArifHabibLtd
Rupee-dollar parity curve. — Twitter/@ArifHabibLtd

Chatting with NEWSONHY.television, Pakistan-Kuwait Funding Firm Head of Analysis Samiullah Tariq stated: “As a consequence of larger commodity costs, provide chain bottlenecks and unsure scenario in Afghanistan, demand for US greenback is larger than provide.”

The analyst was of the view that because the central financial institution is following a versatile alternate price, “alternate price parity goes in favour of the US foreign money attributable to larger demand.”

It’s pertinent to say right here that the SBP had adopted a versatile market-based alternate price regime in 2019.

Earlier, overseas alternate consultants had predicted that the Pakistani rupee would break the all-time low closing document of 169.12 per greenback this week and can commerce in a spread.

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button