May 17, 2022 (MLN): The Pakistani Rupee (PKR) tumbled to another record low of 195 in an intraday trade on Tuesday, weighed by depleting foreign exchange reserves and uncertainty over the resumption of the International Monetary Fund (IMF) program.
The domestic unit was being quoted at 194.81/195.01 [10:16 PST] when compared to the previous close of 194.18.
Meanwhile, within the open market, PKR was traded at 196.5/198 per USD.
Every day is a new low. Traders’ sentiments are low due to growing worries as the country is going through an economic crisis on weak macros including higher imports and falling reserves.
Amid rapid depletion in foreign exchange reserves and uncertainty on IMF tranche and funding from friendly countries have triggered a spell of uncertainty.
Speaking of this depreciation, Asad Rizvi, former Treasury Head-Chase Manhattan Bank said, “Even persistent inflow of record remittances is not helping.
Depleting forex reserves, inflow delay & quieter SBP are giving jitters to the market. But surging oil prices beyond $110 is disastrous, he added.
