The Pakistani Rupee (PKR) has been posting significant back-to-back losses against the US Dollar (USD) this week. It crossed the Rs. 156 exchange rate on Monday, deepened the losses on Tuesday, and closed at nearly Rs. 157 today.
Today (Wednesday, 16 June), it closed at Rs. 156.96 against the USD at the end of the trading day, down 17 paisas as compared to Rs. 156.78 yesterday (Tuesday, 15 June).
Yesterday, it had touched the highest exchange rate against the USD in two years. It had depreciated 0.44 percent (70 paisas), and today, it traded even above the Rs. 157 exchange rate through the day before closing barely below it.
Pakistani Rupee Undergoes Massive Losses Against All Currencies
Experts believe that there are payments pressures due to debt servicing and imports pickup, which are, in turn, happening due to better economic activities and international commodity prices moving upwards. They opine that since corporates and importers are buying dollars for the import of raw materials, machinery, and equipment, and are placing their orders after the Federal Budget 2021/22 announcement, it will continue to press the Rupee down in the interbank currency market.
Dealers said that the payments are usually higher at the close of June because of the companies’ rush to settle foreign bills and debts.
The PKR posted blanket losses in the interbank currency market against the other major currencies as well, except against the Canadian Dollar (CAD) for which it posted a nominal gain of 1.5 paisas.
It lost 29 paisas against the Euro, 64 paisas against the Pound Sterling (GBP), and 38 paisas against the Australian Dollar (AUD).
Rupee Drops to Lowest Level in Months Against the US Dollar
It also posted losses of 4.7 paisas against both the UAE Dirham (AED) and the Saudi Riyal (SAR) in the interbank currency market today.