Pakistani rupee hits historic low of 200 against US dollar | Here's why
India Today
Importers in Pakistan continued to buy dollars, fearing that the International Monetary Fund (IMF) would not resume the loan programme.
The Pakistan rupee (PKR) has crossed 200 against the US Dollar in the open market to hit a new all-time low. However, in the interbank market, PKR was trading at 197.61 on Thursday, according to Pakistani media reports.
The PKR weakened to about 198.39 to the dollar on Wednesday, the central bank said, a historic low that means it has lost almost a quarter of its value in the past year.
In nine trading days, PKR has suffered a loss of 12.7 or 6.83 per cent, Geo TV reported.
The PKR was at 2.2664 against the Indian rupee, 206 against the Euro and 244 against Pound sterling.
Importers in Pakistan continued to buy dollars, fearing that the International Monetary Fund (IMF) would not resume the loan programme.
Another reason for the depreciation of the Pakistani rupee is due to the risk of default.
Experts have said that Pakistan badly needs the resumption of the IMF's loan programme to avoid the risk of defaulting on international payments, including foreign debt repayments and import payments.
