The downfall trend of the Pakistani Rupee (PKR) continues against the US Dollar (USD) and reported losses in the interbank market today. The domestic currency lost Rs 0.94 against the greenback at the end of the session today.
The currency devalued by 0.5 percent against the USD and closed at 186.63 today after the loss of 94 paisas in the interbank market on Friday, 6 May.
Moreover, the rupee collapsed compared to the dollar today when the World Bank’s remarks on Pakistan’s growth forecast. Afterward, prices came under pressure with the dollar proving to be more expensive for holders of other currencies.
Read more: Rupee breaks all previous records against US dollar as political crisis intensifies
In line with the lender’s Pakistan Development Update, issued on Tuesday, as economic activity continued its momentum from July-December 2021, high demand pressures and increasing international commodity prices resulted in double-digit inflation and a substantial rise in the import bill within this period. These developments adversely impacted the rupee. Besides, long-established structural weaknesses of the economy like low investment, low exports, and low productivity growth cause risks to a persistent recovery.
Generally, oil prices fluctuated on Tuesday as stakeholders fretted over tight global supplies. During the filing of this report, Brent futures were trading at $111 a barrel, whereas US West Texas Intermediate (WTI) futures were comfortable at $106 a barrel.
The price of Euro appreciated by 27 paisas and closed at Rs 196.02 against the previous day’s closing of Rs 195.75. The Japanese Yen remained unchanged to close at Rs 1.43, whereas a decrease of Rs 3.58 was witnessed in the exchange rate of British Pound, which was traded at Rs 229.88 as compared to its last closing of Rs 233.46. The exchange rates of Emirates Dirham and Saudi Riyal increased by 25 paisas to close at Rs 50.80 and Rs 49.75 respectively.
