Rupee falls to new low against US dollarAbdul Gh Lone 29 July 2022 0 COMMENTS
KARACHI: The rupee’s freefall continued on Friday against the US dollar as the greenback traded at Rs240 in the interbank at the start of the day amid lack of clarity from the government on IMF deal and other economic measures, ARY NEWS reported.
According to forex dealers, the US dollar rose by Rs0.06 in the interbank and traded at Rs240. “The banks are selling US dollar at Rs242 while in open market, it being exchanged between Rs242 and Rs244,” they said.
On Thursday, the dollar continued to gain value amid political uncertainty and fate of federal government and IMF deal after the election of CM Punjab Parvez Elahi and rose by Rs3.92 in the interbank today to trade at Rs239.94.
At one point during the day, the dollar also crossed the Rs240 mark.
The forex dealers said that the banks are selling the greenback at Rs242 while in open market, it being sold between Rs242 and Rs244.
Interbank closing #ExchangeRate for todayhttps://t.co/3HKHwEmKLf pic.twitter.com/OZl2VqDeLR
— SBP (@StateBank_Pak) July 28, 2022
Previously, the State Bank of Pakistan (SBP) attributed the 11-rupee change in the exchange rate in just two days to the “market-determined exchange rate system” under which the current account position, news stories, and domestic uncertainty contribute to the daily currency fluctuations.
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In an apparent attempt to downplay the depreciation, the SBP said a “better measure” of the rupee’s strength is the real effective exchange rate, which takes into account the currencies in which Pakistan trades in inflation-adjusted terms.