The rupee continued to lose value on Monday, trading as low as 270 against the dollar in the interbank market as of 11:59 am.
According to the Exchange Companies Association of Pakistan (ECAP), the local currency, which closed at a record low of 262.6 rupees on Friday, depreciated by 6.5 rupees or 2.32 percent to the dollar today.
The current round of depreciation came after the coalition government lifted its price controls to persuade International Monetary Fund (IMF) officials to revive the $7 billion loan program.
With the latest decline, the local currency has fallen by as much as 14 percent, or 36 rupees, in three days to 230.89 rupees to the dollar on Wednesday, according to State Bank of Pakistan (SBP) data. was close to
In over two hours of today’s trading session, the currency touched an intraday low of Rs 270, according to the Exchange Companies Association of Pakistan (ECAP).
Meanwhile, the association reported that the currency was trading at 272 against the dollar in the open market.
ECAP noted in its briefing that most analysts believe the rupee will weaken to 275, and then stabilize around 270 as the IMF approves the program.
However, the association predicts that the market will struggle to move above 270 in the short term if there is no negative news on the IMF or political front, correcting at the 265 level.
