- The rupee closes at Rs 197.92. against US dollar in interbank market.
- The decline is due to expansion trade deficit, depletion of reserves.
- Since July 1, 2021, the rupee has fallen by Rs 40.38.
KARACHI: Pakistani Rupee on Friday reversed momentum, shedding 0.17% to close at Rs 197.92. against United States dollar in interbank market due to concerns about expansion trade deficit and depletion of foreign exchange reserves.
According to the State Bank of Pakistan (SBP), the local currency closed at Rs 197.92 compared to Rs 197.59 a day earlier.
decline comes on in back of extension trade deficit, which reached $43.33 billion in 11 months (July-May). of outgoing fiscal year — and the depletion of foreign exchange reserves, which fell to the level worth just six weeks of imports are the lowest since December 2019.
The day before central bank showed that SBP reserves fell to $9.723 billion, below the closely observed level of $10 billion, on May 27th.
Today’s decline was attributed higher dollar demand from importers who pushed the US currency higher.
From the very beginning of this fiscal year (July 1, 2021) the rupee has collectively fallen by 25.63% (or Rs 40.38) to date compared to the previous financial period. year closed at Rs 157.54.
The ruble kept its downward trend for in last 13 months. To date, it has lost 29.97% (or Rs 45.65) compared to the previous year. record high of Rs 152.27 recorded in may 2021.
