On account of relaxations in import restrictions, the Pakistan rupee fell by Rs 1.88 towards the US greenback, hitting file low on Tuesday. Within the interbank market, PKR closed at a file low of Rs 299 towards the US greenback.
In keeping with Pakistan’s central financial institution information, relaxations in import restrictions has elevated demand for the US greenback. Pakistan imposed import restrictions from 2022 to stem outflows from its shrinking international reserves, Reuters reported.
The easing of restrictions was one of many situations of IMF’s bailout bundle for Pakistan. Pakistan started eradicating the restrictions in June as IMF’s situation for a $3 billion mortgage programme.
The rupee fell 0.6 per cent to an intraday low of 299 towards the greenback, Reuters reported quoting merchants. PKR slid to file low of 298.93 on Might 11, two days after former Prime Minister Imran Khan’s arrest in a corruption case.
“The declining pattern is especially attributable to the convenience off within the import restrictions coupled with clearance of backlog for items and companies,” Reuters quoted Tahir Abbas, head of analysis at Arif Habib, a Karachi-based brokerage firm as saying. Habib added that he expects PKR to commerce between 295 and 305 to the greenback in the intervening time.
