April 23, 2022 (MLN): A series of economic challenges has forced the Pakistani rupee (PKR) to fall 5.2 rupees against the dollar over the past week as the currency settled the week’s trading at PKR 186.75 per USD , compared to the previous week. closure of PKR 181.55.
The local unit witnessed minimal activity in today’s session, with the currency losing just 5 paisa, according to data reported Saturday by the State Bank of Pakistan (SBP).
Throughout the week, domestic unity continued to be under pressure from bleak macros, including foreign exchange reserves, raging commodity prices and rising import bills, enough to upset the current account balance.
However, during yesterday’s session, PKR broke losing momentum and gained 27 paisa on news of an increase in foreign exchange reserves and a notable drop in oil prices in the international market. Meanwhile, market experts are hopeful about the resumption of the stalled $6 billion Extended Fund Facility (EFF) program, which will also help PKR gain ground in the interbank market.
From July 21 to date, the local unit has lost Rs29.20 against the USD. Similarly, the rupee fell by Rs 10.23 in CYTD, with the month-to-date (MTD) position showing a decline of 1.75%, according to data collected by Mettis Global.
Over the past 52 weeks, PKR has lost 18.46% against the greenback, hitting its low of 186.75 today and hitting its high of 152.27 on May 7, 2021.
In addition, the local unit has weakened 9% since its high on May 5, 2021 against EUR, while it is down 14.57% against GBP since its high on May 7, 2021.
In addition, PKR’s performance against major currencies from the calendar year to date has remained weak as it weakened by 5.58%, 5.48%, 3.57%, 1.04%, 0.97% and 0.1 62% against SAR, AED, CNY, CHF, EUR, and GBP respectively. On the other hand, the local unit has strengthened against the JPY by 5.5%.
Within the open market, PKR traded at 186/186.50 per USD.
Alternatively, the currency gained 1.3 rupees against the British pound as the day’s closing price was PKR 239.76 per GBP, while the previous session ended at PKR 241.1 per GBP.
Similarly, the value of PKR rose 19 paisa against EUR, which closed today at PKR 201.59 at the interbank.
On the other hand, within the money market, the overnight repo rate was 12.60/12.80 percent by the end of the session, while the 1-week rate was 12.25/12.35 percent.
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Posted on: 2022-04-23T21:05:00+05:00
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