Despite High Foreign Reserves, Rupee Weakens by 9%
US Dollar gained almost Rs 14.59 since its low of Rs 152.28 on May 7 this year
Despite all-time high foreign reserves, the Pakistani Rupee is the worst performer among 13 Asian countries and has weakened by almost 9% since May 2021.
Other countries in the worst performing list are Thailand, Philippines and South Korea.
Contrary to this, the dollar reached 1 year high level after closing at 166.87 on Wednesday.
US Dollar gained almost Rs 14.59 since its low of 152.28 on May 7 this year.
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On the other hand, dollar in the open market is up by 20 paise to trade at Rs 168.
Meanwhile, the currency is up by 23 paise at interbank to trade at Rs 167 on Thursday.
As per analysts, the dip in Pakistani rupee is incomprehensible when the foreign exchange reserves are at an all-time high.
Not only this, most of the investors showed concerns over the depreciation of the rupee against the dollar.
Notably, the foreign exchange inflows from overseas Pakistanis through Roshan Digital Account (RDA) crossed $2 billion mark in the last 11 months.
As Pakistanis all over the world celebrated country’s Independence Day, #RoshanDigitalAccount crosses the historical milestone of $2bn in deposits. A big thanks to Overseas Pakistanis for their overwhelming response to the RDA initiative. https://t.co/HdkFj9DQHP pic.twitter.com/8nxNCZPXko
— SBP (@StateBank_Pak) August 15, 2021
Additionally, the exports, in the last two months of the current fiscal year, gone up by 28% to reach $4.597 billion while imports went up by 70% to reach $11.911 billion.
