Rupee continues to depreciate:

Rupee continues to depreciate: Inter bank value exceeds Rs 208

After closing at Rs 207.75 paise yesterday, the dollar rose by 80 paise to Rs 208.55 paise today International Press Agency (June 17, 2022) The rupee continued to depreciate today as the dollar crossed Rs 208 in the inter bank market this morning. F) delays in the agreement and a sharp decline in foreign exchange reserves.

According to the Forex Association of Pakistan (FAP), the dollar rose by 80 paise. To 208.55 paise today after closing at 207.75 paise yesterday. According to private TV, the rupee has been depreciating steadily since the beginning of this week, which has left investors worried and frustrated among the economy’s stakeholders.

Malik Bostan, chairman of the Forex Trade Association, cited three main reasons for the pressure on the rupee, including stagnation in the IMF loan program, weakening of foreign exchange reserves and delay in disbursement of ا 2.5 billion in funds from China.

He said remittances from Pakistanis abroad have dropped by 5 50 million in the last few months. He said that the increase in demand for foreign currency could be due to Pakistanis going abroad for holidays.

Demand increases. Malik Bostan said that rising global oil prices posed a threat to the rupee. He suggested measures to reduce fuel consumption, saying that it was achieved by setting fuel quotas on gas-powered vehicles.

On the other hand, Director Metis Global Saad Bin Naseer said that the rupee is under pressure today in view of the ongoing plenary sessions of the Financial Action Task Force (FATF).

FATF

Saad bin Elaborating on the reasons, Naseer said that oil payments also put more pressure on the rupee today. Mets Global, meanwhile, quoted Arif Habib Group’s Ahsan Mohanty as saying that the decision by the Federal Reserve System Bank to increase the policy rate by 75 basis points compared to almost all major currencies.

Demand for the dollar is high, with the rupee depreciating against the dollar as a result, he said, adding that the Federal Reserve on Wednesday announced the most aggressive rise in interest rates in nearly 30 years. Mark borrowing rate increased by 0.75 percentage points.

In addition, Ahsan Mohanti pointed out that the export market has become very limited for Pakistan. He said that it is said that exporters are benefiting from the devaluation of the rupee, but in the current scenario, Russia-Ukraine tensions.

Due to which exporters cannot take proper advantage. Meanwhile, the SBP’s foreign exchange reserves fell below the 9 billion level, exceeding the 20 208 level. Reserves have fallen below the ارب 9 billion level, their lowest level since November 2019. On the other hand, the dollar crossed the Rs 208 mark at the start of trading on Friday and is currently trading at Rs 208.25.

According to the central bank, it currently has foreign exchange reserves of Rs 8.98 billion. On the other hand, the foreign exchange reserves of commercial banks. Which are currently at سطح 5.95 billion, have also declined. The country’s total foreign exchange reserves have fallen below 15 15 billion to 14 14.94 billion. Are.

Depreciation in foreign exchange reserves is under pressure due to the country’s. Rising import bill, which includes expensive petroleum products and gas. The limit of Rs. 208 has been crossed.