The Pakistani Rupee (PKR) has been constantly posting losses against the US Dollar (USD) in the interbank currency market since the beginning of the current fiscal year.
After yesterday’s loss of 30 paisas against the USD, that once again caused the rupee to jump over Rs. 158 to the USD boundary, today PKR further deepened the deterioration by 19 paisas against the greenback.
The PKR closed at Rs. 158.37 to the USD today (6 July) as compared to Rs. 158.17 to the USD on Monday (5 July).
Asad Rizvi, the former Treasury Head at the Chase Manhattan Bank, said earlier in the day, “Rupee weakness is caused by long weekend, as banks normally hold/buy funds to cover payments. Due to holiday in NYK, banks won’t receive funds in their NOSTRO Accounts.”
He said that rising oil prices are also adding pressure on the local unit, even though remittances inflow is supportive and should help the PKR maintain strength.
The PKR also posted blanket losses against other major currencies as well in the interbank currency market today.
It went down by 13 paisas against the Euro, by 31 paisas against the Pound Sterling (GBP), by 91 paisas against the Australian Dollar (AUD), and by 15 paisas against the Canadian Dollar (CAD).
PKR also posted losses of 5 paisas against both the UAE Dirham (AED) and the Saudi Riyal (SAR) in the interbank currency market today.