Pakistani rupee weekens sharply as US dollar spikes to PKR 115
Pakistan’s rupee weakened to a record low after the central
bank continued to ease its grip on the currency, making it the second such
intervention in less than four months.
Today, the Pakistani Rupee to US Dollar exchange rate in the interbank market closed at Rs115 per US Dollar.
The dollar got stronger in the open market as it devalued up to Rs118 to US dollar from Rs 115.
However, the State Bank of Pakistan stated that the country’s external Balance of Payments position is under pressure due to the large import bill. This has resulted in a widening of current account deficit which has translated into a demand- supply gap of foreign exchange. This adjustment in exchange rate remains broadly aligned with evolving fundamentals on the external front.
Exports and workers’ remittances have posted promising growth rates of 12.2 percent and 3.4 percent respectively during July-February FY18 after showing a decline in the same period last year.
The central bank reiterated that the exchange rate movements will continue to reflect the demand-supply conditions in the foreign exchange market. SBP said it will continue to closely monitor the foreign exchange markets; and stands ready to intervene to curb the emergence of speculative pressures.
Today, the Pakistani Rupee to US Dollar exchange rate in the interbank market closed at Rs115 per US Dollar.
The dollar got stronger in the open market as it devalued up to Rs118 to US dollar from Rs 115.
However, the State Bank of Pakistan stated that the country’s external Balance of Payments position is under pressure due to the large import bill. This has resulted in a widening of current account deficit which has translated into a demand- supply gap of foreign exchange. This adjustment in exchange rate remains broadly aligned with evolving fundamentals on the external front.
Exports and workers’ remittances have posted promising growth rates of 12.2 percent and 3.4 percent respectively during July-February FY18 after showing a decline in the same period last year.
The central bank reiterated that the exchange rate movements will continue to reflect the demand-supply conditions in the foreign exchange market. SBP said it will continue to closely monitor the foreign exchange markets; and stands ready to intervene to curb the emergence of speculative pressures.
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