KARACHI: In line with the prevailing trend during the week, the Pakistani currency lost 0.03% against the US dollar on the last trading day of the week.
The local currency dropped to an all-time low of Rs. 181.78 against the greenback compared to its last close of Rs. 181.73 against the US currency a day earlier.
The Pakistani rupee has depreciated by 15.38% (or Rs. 24.24) since the start of the current fiscal year on July 1, 2021, data released by the central bank revealed.
The rupee has maintained a downtrend for the past 11 months. It has lost 19.38% (or Rs. 29.51) to date, compared to the 22-month high of Rs. 152.27 recorded in May, 2021.
Today’s slight decline compared to the major losses posted during the week, was attributable to China’s decision to roll over Pakistan’s loan and the Asia’s Development Bank’s (ADB) approval of $300 million for the country went in favour of the rupee.
“The political turmoil is giving a bad impression about the future direction of the country’s economy,” a foreign exchange dealer said.
He further added that any delays in disbursement of the next loan tranche from the IMF’s Extended FundFaculty will add to the negative view.
Meanwhile, the country’s foreign currency reserves have hit their lowest level of the current fiscal year, the central bank’s data showed on Thursday.
Pakistan’s foreign exchange reserves declined by $869 million during the week ended March 18, the State Bank of Pakistan (SBP) said.
The country’s foreign reserve assets dropped to $21.439 billion, the lowest since mid-March last year, from $22.283 billion a week earlier.
The SBP reserves decreased by $869 million to $14,962.4 billion on external debt and oher payments, the bank said. The reserves of commercial banks rose to $6.477 billion from $6.451 billion.
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