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Record decline in Pakistani rupee continues amid uncertainty over IMF help, reaches 262 against dollar

New Delhi:

In the midst of economic crisis in Pakistan, the Pakistani rupee is creating a new record every day. The Pakistani rupee touched a record low of Rs 262 against a dollar on Friday, setting a new record for rupee depreciation in Pakistan. At one stage the currency traded at Rs 265 in the open market and Rs 266 in the interbank, before making a marginal correction by the end of the day. had fallen till According to the State Bank of Pakistan, as soon as the market opened on Friday, the rupee depreciated by Rs 7.17 and 2.73 per cent as compared to Thursday.

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The Pakistani rupee has depreciated by Rs 34 at the interbank since Thursday, which is the biggest fall in both absolute and percentage terms since the introduction of the new exchange rate system in 1999.

Explain that the Pakistani rupee has declined further sharply after the government removed an informal cap on the USD-PKR exchange rate to revive the International Monetary Fund (IMF) loan program. The government’s decision comes after exchange companies announced on Thursday the removal of self-imposed rate caps in the open market.

Significantly, on Thursday, the Pakistani rupee had stopped at 255 against one dollar. Which was its lowest level till Thursday. This fall in the Pakistani rupee has come after the government loosened its grip on the exchange rate.

The reason behind this decline is that Pakistan has accepted the condition of IMF and has left its rupee open according to the price of the open market. Earlier, Pakistan’s Finance Minister Mohammad Ishaq Dar had artificially capped the value of one dollar at around Rs 231 so that there would not be too much grit. But this had become a major obstacle in getting dollars into the government treasury.

The loss due to this was that instead of coming to the government bank for exchange, the dollar was going to the open market where it was getting a higher price. This is also a big reason for the decrease in dollars in the government treasury of Pakistan. According to experts, Pakistan’s foreign exchange reserves have remained only $ 4.34 billion, which is almost empty.

(This news has not been edited by NDTV team. It is published directly from syndicate feed.)

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