Rupee dives to all-time low of Rs168.94
September 15, 2021
The Pakistani currency hit an all-time low of Rs168.94 against the US dollar in the inter-bank market on Tuesday in the wake of burgeoning import payments and trade deficit, signaling that demand for the foreign currency remained higher compared to its supplies. “Apparently, there is no room left for the rupee to maintain the downturn,” Ismail Iqbal Securities Head of Research Fahad Rauf said while talking to The Express Tribune.If it drops any further, the decline will be unsustainable and short-lived.The rupee may consolidate at around current levels in the short run and trade in the range of Rs165-168 over the next six months (in the medium term).The rupee breached the previous all-time low close of Rs168.43 reached on August 26, 2020, according to Pakistan’s central bank data. With the latest drop of half a percentage point (or Rs0.84) on Tuesday, the rupee has lost 7.23 percent (or Rs11.4) to date since the start of the current fiscal year on July 1, 2021, when the currency stood at Rs157.54.