Rupee falls for third straight day

KARACHI: The rupee continued declining trend against the dollar for the third consecutive day on Wednesday, as it depreciated to Rs172.93 in the interbank foreign exchange market, dealers said.

The exchange rate witnessed a drop of Rs1.30 in its value against the dollar from the previous day’s closing of Rs171.63 in the interbank foreign exchange market.

The local unit fell Rs2.92 against the greenback during the last three trading sessions.

The dealers said the demand for the greenback for external payments remained high during the day.

The Saudi government on October 26, 2021 pledged to provide $3 billion assistance to Pakistan to manage the balance of payments; however, this amount has not been transferred so far.

Further, the government’s negotiations with the International Monetary Fund (IMF) for another tranche were also not finalised.

The import bill registered a growth of 65.15 per cent to $25.06 billion during July-October 2021, compared with $15.17 billion in the same period of the last fiscal year, the Pakistan Bureau of Statistics (PBS) showed.

The local currency remained under pressure since the start of the current fiscal year. it fell Rs15.39, or 9.77 per cent, from June 30, 2021 closing of Rs157.54 to the closing of Rs172.93 on November 10, 2021.

The local unit recorded the all-time low of Rs175.27 on October 26, 2021.