Forex reserves crunch keeps pulling Pakistani rupee down

By: News Desk
Published: 11:09 AM, 14 Nov, 2022
Forex reserves crunch keeps pulling Pakistani rupee down
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The Pakistani rupee kept losing its value against the US dollar in the interbank, reported 24NewsHD TV channel. 

According to the money dealers, during trading activity on Monday after a break of two days, the American currency seemed to glide confidently pushing down Pakistani rupee. During morning activity, the dollar was up by 11 paisas and traded for Rs221.75. However, as the trading drew towards close, the greenback was only five paisas up against the rupee at Rs221.69.

On Friday, the USD was closed at Rs221.64 and the PKR was depreciated by 0.10%. 

The PKR is slumping against the dollar due to massive decline in country’s foreign exchange reserves. 

Pakistan foreign exchange reserves slipped sharply by $956 million by week ended on November 04, 2022 owing to external debt payments, State Bank of Pakistan (SBP) said on Thursday.

The major debt retirement includes repayment of government’s commercial loans. Refinancing of these loans is in process, which will improve foreign exchange reserves in coming weeks, the central bank said.

The foreign exchange reserves of the country have been recorded at $13.721 billion by week ended November 04, 2022 as compared to $14.679 billion a week ago i.e. October 28, 2022.

Besides this, the remittances sent by overseas Pakistanis in October were also shrunk by 9% and the remittance inflow was $2.2 billion. 

Categories : Business