The Pakistani rupee fell to 177 rupees to the US dollar on Thursday morning.
Pakistan Rupee sets a new low at Rs 177.43 to a dollar in the interbank. Colossal trade deficit and high inflation are likely to complicate things further, including pressure on the interest rates.
Pakistan’s currency has entered a fresh all-time low against the dollar after the government last week reached a preceding agreement with the IMF for a $6 billion bailout.
Pakistan Rupee vs US dollar
The rupee was being exchanged at 177 rupees to the dollar earlier this week, prompting government administrators to meet with currency dealers to discuss how to stabilize the currency.
Rupee sets a new low at Rs 177.43 to a dollar in the interbank.— Nadeem Malik ?? (@nadeemmalik) December 8, 2021
Huge trade deficit and high inflation likely to complicate things further, including pressure on the interest rates. #Pakistan pic.twitter.com/bbQc9MXq7K
Last week, Pakistan in a preliminary agreement with the International Monetary Fund agreed to follow a market-determined exchange rate.
It will be interesting to see what the new Pakistan government led by former Cricketer Imran Khan will take steps to stop the downward spiral of the currency.