Business
Rupee weak against dollar, hits Rs.185.92
Money dealers counts Pakistani rupees (R) and US dollars at a currency exchange in Islamabad
KARACHI: The rupee remained weak on Wednesday as it lost further ground and fell below the 185-mark in the interbank market, closing at 185.92 against the US dollar.
As reported by the State Bank of Pakistan (SBP), the local currency in the interbank market fell 0.80% (or Rs1.48) to close at Rs185.92 against the greenback due to concerns over weak economic fundamentals.
Foreign exchange reserves have been depleted due to buying dollars from oil importers, high global commodity prices, and a recent decline in oil prices.
Recent sessions have been consistently strong for dollar demand from oil importers, according to analysts.
Despite the formation of the new cabinet, political and economic uncertainty persists. In addition, the stalled loan program of the International Monetary Fund (IMF) has restricted rupee gains.
The rupee has maintained a downward trend for the last 12 months. It has lost 22.09% (or Rs33.65) to date, compared to the record high of Rs152.27 recorded in May 2021.
With a fresh decline of 0.80%, the Pakistani rupee has depreciated by 18.01% (or Rs28.38) since the start of the current fiscal year on July 1, 2021, data released by the central bank revealed.