Dollar reaches all-time high of Rs203 in inter-bank market
On the second day of the trading week, the rupee depreciated further against the dollar in the inter-bank market, with the US dollar reaching an all-time high of Rs203.
Analysts attributed the rupee’s depreciation to concerns over oil payments and the International Monetary Fund’s (IMF) debt facilitation.
According to the Forex Association of Pakistan, the value of the dollar has increased by Rs2.40 against the previous day. The dollar had closed at Rs200.40 yesterday.
According to the rates issued by the State Bank of Pakistan, the rates of the Forex Association were higher.
Saad bin Naseer, director of Mets Global, explained that the rupee depreciated by more than Rs2 against the dollar on Monday, causing another ‘decline’ in the value of the rupee due to ‘non-compliance’ in the currency market. There are depletion of the country’s foreign exchange reserves and payments related to oil.
Furthermore, he said that the rupee was depreciating ahead of next week’s meeting of the Financial Task Force.
Saad bin Nasir said that all these factors combined with the resumption of the International Monetary Fund (IMF) fund program and the uncertainty created by the refinancing of $2.3 billion by China have pushed the rupee to a new low.