Connect with us

Hi, what are you looking for?

Online Business Success

Pakistani rupee hits all-time low against US dollar

A file photo of the Pakistani rupee and US dollar.
A file photo of the Pakistani rupee and US dollar.
  • Dollar continues to soar in Pakistan, reaches Rs173 in inter-bank market.
  • Rupee falls by 82 paisas to reach Rs173 in inter-bank market. This is the highest value of the dollar in the history of Pakistan.
  • Economists say main reason for rise in dollar value is Pakistan’s current account deficit, IMF’s demand for further devaluation of rupee.

KARACHI: The US dollar continued to soar against the Pakistani rupee, reaching a new historic high during intra-day trading in the inter-bank market on Monday.

The Pakistani rupee continued to weaken, shedding an additional 82 paisas against the US dollar, which was being traded at Rs173 in the during intra-day trading in the inter-bank market.

Last week, speaking at the launch of the Kisan Portal, Prime Minister Imran Khan had said that the pressure on the Pakistani rupee is temporary and will be over soon.

Economists say that the main reason for the rise in the value of the dollar and the depreciation of the rupee is Pakistan’s current account deficit and IMF’s demand for further devaluation of the rupee.

Analysts had earlier predicted that the downtrend is expected to end soon as analysts suggest that the successful conclusion of the discussion between the IMF and Pakistan to resume a $6 billion loan programme will stabilise the rupee value at around current levels.

“The rupee volatility will end if policy talks between Pakistan and the IMF conclude successfully during the three days from October 13 to 15,” Pakistan-Kuwait Investment Company Head of Research, Samiullah Tariq, had told

However, in case the two sides fail to find a middle ground and talks end on an unsuccessful note, the rupee may cross several limits on the downside.

PM Imran Khan convenes important meeting on rising inflation: sources

Meanwhile, sources have said that that Prime Minister Imran Khan is having a meeting on inflation and the economic situation in the country.

Advertisement. Scroll to continue reading.

According to the sources, the premier is expected to make an important announcement regarding public relief in this meeting.

Sources said that a roadmap has been prepared by the Prime Minister to deal with the rising inflation and public reaction to it. He will reportedly brief the concerned authorities about his roadmap.

According to the sources, the provincial chief secretaries have also been taken on board and have been instructed to loop in the deputy commissioners.

PM Khan wants steps to be taken to control the rising inflation immediately, the sources said.

Shaukat Tarin insists Pakistan’s talks with IMF have not failed

The impression that Pakistan’s negotiations with the IMF have failed is false, said Advisor to the Prime Minister on Finance Shaukat Tarin Sunday.

Speaking exclusively to Geo News, the prime minister’s advisor had said Pakistan is still negotiating a deal with the IMF.

“The impression that talks with the IMF have failed is false,” he said.

“I always bluntly tell you like it is and I did the same today, tell you why we are in the mess that we are in today,” he said. “I have told you about the deficiencies and how we fix them.”

He said the secretary of finance is still in Washington. Tarin said the country’s economic situation will improve. “Give us a little time, an incompetent person like me will deliver for you” he said.

Advertisement. Scroll to continue reading.

A press statement by the Ministry of Finance confirmed what the prime minister’s advisor had earlier said.

“Negotiations between Pakistan and IMF are moving forward positively. Secretary Finance Division is leading the talks in Washington DC while the technical teams of both sides are continuing detailed discussions in virtual format after exchange of relevant data sets,” it said.

“No timeframe was set at any stage for conclusion of the talks”.

IMF remains unsatisfied despite Pakistan’s tough measures

As per an earlier report in The News, the IMF remains unsatisfied despite Pakistan’s tough measures due to which the two sides have failed to reach a staff-level agreement.

Despite hectic efforts and fulfilling the toughest conditions of the IMF on account of raising the electricity tariff by Rs1.39 per unit on average for baseline tariff, raising POL prices by Rs10.49 for petrol and Rs12.44 for diesel, the IMF staff is still unsatisfied with the macroeconomic framework under the Memorandum of Economic and Financial Policies (MEFP) and without agreement over it, the staff-level agreement will not be struck and the IMF tranche will be jeopardised.

Sources had said that it was a worrisome development that the IMF staff was so far busy in crunching numbers mainly on the fiscal framework, external front and power sector.

Extraordinary expertise is required for reconciliation on the MEFP as any insertion of wrong or nonviable figures could result in the suspension of the IMF programme. Any failure to reconcile the projections would hamper Islamabad from accomplishing all future reviews under the $6 billion EFF arrangement.

To complete the 36 months of the Extended Fund Arrangement, Pakistan will have to complete 12 reviews, therefore finalisation of the MEFP with deft management and professional skills is critical.

The State Bank of Pakistan (SBP) projected the Current Account Deficit (CAD) to hover around 3% of the GDP, equivalent to $9.5 billion for the current fiscal year. However, the IMF has pitched the CAD on the higher side and the MEFP would give a clear picture but the Fund staff is projecting it over 4% of the GDP.

Advertisement. Scroll to continue reading.

Source link

Click to comment

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.



Top Stories

Ian Khan is a futurist who expects that blockchain, artificial intelligence and the Internet of Things will merge together to create an entirely new...

Top Stories’s native cryptocurrency, CRO, hit an all-time high of $0.593 on Nov. 18 after the company won the naming rights to Los Angeles’ Staples Center. The...

Social Media

Snapchat’s looking to expand the utility of its Snap Map feature, with the addition of a new ‘Layers’ toggle that’ll enable users to change...

Loan And Finance

APRA finalises insurance in super prudential changes 15 November 2021 The Australian Prudential Regulation Authority (APRA) says it has finalised revisions to requirements and...


Hear from CIOs, CTOs, and other C-level and senior execs on data and AI strategies at the Future of Work Summit this January 12,...

Top Stories

Bitcoin (BTC) chopped and changed on Nov. 18 but held a critical support level to preserve the chance of new all-time highs. BTC/USD 1-hour...

Top Stories

Rapper Post Malone is the latest celebrity to move into nonfungible tokens (NFT) by promoting a major NFT project and a cryptocurrency firm. In...

Online Business Success

China becomes richer than the US. File photo Report says real estate key driver of global net income; could have unpleasant repercussions in years...


You May Also Like


In this post, I will discuss the top ten profitable blogging niches ideas for Adsense approval and high traffic. whether you use Blogger or...

SEO Guide

How to index website on Google? Do you want to drive more organic traffic to your new website? I am sure your answer is...

SEO Guide

Want to rank in Google image search? Images that you use as a featured images when writing a post actually appear on Google Images...

SEO Guide

There are all kinds of pictures of the world on the internet, but to find one of these specific pictures that you want to...