Multiple factors including political and economic uncertainty have pushed the Pakistani rupee down further against the US dollar in interbank market on Wednesday, reported 24NewsHD TV channel.
According to the State Bank of Pakistan, the local currency remained under pressure as it lost 56 paisas in value against the greenback, and ended the day at Rs288.85.
Interbank closing #ExchangeRate for todayhttps://t.co/tH300nYbcv pic.twitter.com/d80vTCjZFD
— SBP (@StateBank_Pak) April 5, 2023
On Tuesday, the rupee crashed to a historic low against the US dollar. The rupee closed at 287.29, a loss of Rs2.25 or 0.8%. This is the lowest level for the Pakistani rupee since it hit 285.02 against the greenback in March this year.
Interbank closing #ExchangeRate for todayhttps://t.co/6ETrMLFqhp pic.twitter.com/4cZn14SFbJ
— SBP (@StateBank_Pak) April 4, 2023
Earlier in the year, the rupee had suffered a dramatic fall when it went from 230.89 to 255.43 on January 26 as the government loosened what were seen as administrative measures to keep the currency in check.
Experts say the market awaits the resumption of the IMF Extended Fund Facility (EFF) programme, which has remained stalled since last year. Uncertainty pertaining to the IMF programme is causing pressure on the Pakistani rupee. The country’s foreign exchange reserves have also declined, which is another source of concern for investors.
In a key development, Finance Minister Ishaq Dar, accompanied by a high-powered delegation, will visit the US from April 10 to 16 to attend the upcoming annual spring meetings of the IMF and the World Bank.
The incumbent government has already said that it has fulfilled all requirements set by the international lender for the release of the $1.1 billion tranche.
Reporter Ashraf Khan