The Pakistani rupee continued to slide against the US dollar on Wednesday as it depreciated by a another 65 paisa to set a new record low against the greenback during intraday trading in the interbank market.
According to the Forex Association of Pakistan (FAP), the greenback was being traded at Rs177.50 in the interbank market at 12:25pm.
In the open market, the dollar’s selling rate was reported at Rs178.50 and buying rate at Rs178 at the same time.
On Tuesday, according to the State Bank of Pakistan, the dollar opened at Rs176.48 and closed at Rs176.79, shedding 31 paisas or -0.18 per cent compared to the previous day’s close. Within the open market, the rupee was traded at 177.80/178.80 per dollar.
The dollar had hit the highest ever levels of Rs176.77, Rs176.42 and Rs176.20 against the local currency just last week.
According to experts, the $3 billion deposit from Saudi Arabia has failed to leave any positive impact despite expectations. They said that funds are a sort of operating reserve that can only give a temporary boost, but are not good enough to solve structural financial pressures.
The rupee is under severe pressure due to a surge in import bill and widening trade deficit.
The decline in State Bank of Pakistan’s (SBP) official foreign exchange reserves are also another reason for the local currency’s deterioration.
Moreover, the Pakistani rupee’s value against the US dollar has fallen by 30.5pc during the incumbent PTI-led government’s tenure, as per a report in The News.