Rupee has been losing ground due to the balance of payment crisis & falling foreign exchange reserves, traders said.
KARACHI: The Pakistani rupee continued its downward slide against the US dollar as it depreciated over Re1 in the interbank market during early morning trading on Wednesday.
According to the State Bank of Pakistan (SBP), the local currency shed Rs1.3 (or 0.63%) against the greenback to close at Rs206.46.
A day earlier, the Pakistani rupee closed at Rs205.16.
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The rupee plumbed to a fresh record low on Tuesday as doubts increased about the revival of the much-needed $6 billion International Monetary Fund (IMF) bailout package after the country’s recently unveiled budget could not satisfy the lender.
Traders said the rupee has been losing ground due to the balance of payment crisis and falling foreign exchange reserves. But, the IMF comments on the measures announced in the budget added new pressure on the domestic currency.
The IMF has asked Pakistan to take “additional measures” to strengthen the budget and bring it in line with the key objectives of the fund programme.