Rupee Weakens 15th Day in a Row Against US Dollar As IMF Talks Enter Crucial Stage

The Pakistani rupee weakened 15th day in a row against the US Dollar today after opening trade at 287 in the interbank market.

At 11:30 PM, it was bullish, treading the 282 level against the greenback after gaining ~Rs. 5 during early-day trade.

Later, the interbank rate dropped to 286 between 1:30 PM and 2:30 PM before anchoring trends for the remainder of the day. Open market rates across multiple currency counters stood in the 286-288 range today.

At close, the PKR depreciated by 0.18 percent to close at 287.55 after losing 52 paisas against the dollar today.

The rupee closed in the red for the 15th consecutive day today.

Pertinently, the rupee is down nearly Rs. 71 since January 2023. Since April 2022, it is down over Rs. 118 against the greenback. As per exchange rate movements witnessed today, the PKR has lost over 50 paisas against the dollar.

Today’s losses come as markets weigh in on the ongoing discussions between Pakistan and the International Monetary Fund on the money-hungry nation’s $3 billion Standby Arrangement.

The latest updates reported by ProPakistani earlier today revealed that both sides this week will deliberate on policy-level discussions focusing on avenues for enhancing revenue, cutting expenditure, and encouraging dollar inflows.

The talks will address significant economic aspects such as rebasing, adjustments, and a circular debt reduction plan for both the power and petroleum sectors. Sources briefed that the Ministry of Finance has confirmed that policy-level talks with the lender are set to commence today. They added that Finance Minister Dr. Shamsmad Akhtar will take a hands-on approach, personally overseeing the negotiations.

The PKR was red against all of the other major currencies in the interbank market today. It lost 14 paisas against the Saudi Riyal (SAR), 14 paisas against the UAE Dirham (AED), and Rs. 1.15 against the Euro (EUR).

Moreover, it lost 37 paisas against the Canadian Dollar (CAD), 87 paisas against the Australian Dollar (AUD), and Rs. 1.48 against the British Pound (GBP) in today’s interbank currency market.