IMF uncertainty pushes dollar high against the rupee
Local currency depreciates by Rs4 in six days
The Pakistani rupee, once again, started losing ground and fell by Rs1.3 against the US dollar in the inter-bank market Wednesday.
In the past six days, the rupee has depreciated by Rs4. On November 10, the value of the US dollar increased to Rs174.70 in the open currency market.
On Tuesday too, dollar rose to Rs174.5 in the open currency market. In the inter-bank, the value of the greenback surged past Rs171.63 too.
The stress on the Pakistani rupee has been cited to the delay in the International Monetary Funds loan programme.
According to Malik Bostan, chairman of the Forex Association of Pakistan, the delay in the loan programme has urged people to purchase dollars which in turn increased its value.
However, if the loan program is approved by the IMF, the value of the dollar will fall again. The World Bank, the Asian Development Bank, and foreign investors value the IMF program and formulate funds or investment strategies accordingly.
Pakistani rupee suffered immense pressure against the US dollar because of the high trade deficit, pushing the dollar up to an all-time high of Rs176 per dollar on October 26.
