Pakistani rupee sinks to historic low of Rs255 against US dollar

Local currency plunges by Rs24.54 in interbank market: Country's foreign debts multiply by over Rs2,0000 billion: Dollar jumps up by Rs12 in open market

By: News Desk
Published: 10:26 AM, 26 Jan, 2023
Pakistani rupee as it plunged to historic low of Rs255 against the US dollar in the interbank market
Caption: Representational image.
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It was a freefall situation for the Pakistani rupee as it plunged to historic low of Rs255.43 against the US dollar in the interbank market on Thursday, narrowing the gap with the dollar rate in the open market, reported 24NewsHD TV channel.

The clouds over Pakistan’s currency market are getting darker and darker with no hope in sight as the rupee suffered 27th consecutive hammering at the hands of the US dollar in the interbank market.

The data provided by the forex dealers suggested that the greenback shot up to the historic level of 255 as it appreciated by massive Rs24.54 in interbank market and ended the day at Rs255.43.

The latest rampant surge in the value of the US dollar has multiplied Pakistan's foreign debts by over Rs2,000 billion.

The situation was no different in the open market where the US dollar jumped up by Rs12 and was exchanging hands at Rs255 by noon.

The greenback is being bought at Rs252.50 and is being sold at Rs255 in the open market.

On Wednesday, the US dollar went up by 0.21 percent, gaining value of 49 paisas and ended the day at Rs230.89 in the interbank trading.

ECAP Chairman Malik Bostan said that commercial banks were not supplying dollars to exchange companies despite the State Bank’s directives. “The cap on the dollar rate has been removed which is why it is appreciating. It can continue to rise till supply resumes.” He urged the SBP to ensure commercial banks supplied dollars to the exchange companies.

Foreign exchange companies lifted a price cap on Wednesday, which they said caused “artificial” distortions and created a black market, where the US currency was selling at higher rates. As a result, the rupee depreciated to Rs252.5 in early open-market trade.

Reporter Malik Ashraf Khan