Rupee Crashes Against US Dollar 4th Day in a Row

The Pakistani rupee fall down to a new record low against the US Dollar today, making history after opening trade at 296 in the interbank market.

At noon, the market wasn’t doing well. Prices dropped to as low as 300, falling by about Rs. 4 compared to the dollar. This was because the market was influenced by negative trends when it opened.

Later, things got worse as it reached 301 between 1:30 PM and 2:30 PM. The market stayed around this level for the rest of the day.

Throughout the day, the exchange rates for various currencies were recorded between 304 and 310 in the open market.

By the time the market closed, the Pakistani Rupee (PKR) had lost 0.26% of its value, closing at 301 against the dollar. This means it lost 78 paisas during the day.

The market has been on a downward trend all week, especially since the new caretaker government took charge. The unofficial exchange rate, which is different from the official bank rate, is also higher, trading between 313 and 319. Experts predict that things might get worse tomorrow. In August, we might see new record lows, possibly ranging from 300 to 305.

Certainly, let’s break down the complex information into simpler terms:

Lately, the value of the Pakistani rupee has fallen by about Rs. 81 since January 2023. Looking back to April 2022, it has dropped by more than Rs. 128 compared to the US dollar. Today, the Pakistani rupee lost 78 paisas in value against the dollar.

A significant update is that the amount of foreign money held by the central bank has gone down by $125 million in just a week. This data was shared by the State Bank of Pakistan on Thursday.

As of August 18, the State Bank of Pakistan had foreign currency reserves worth $7.931 billion. This is a decrease from $8.055 billion recorded on August 11. The bank explained that the drop in reserves happened because they had to pay back some debts.

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