On Wednesday, the Pakistani rupee (PKR) maintained its declining trend versus the US dollar for the fourteenth session in a row. In intraday trading, the PKR lost Rs1.09 and fell to Rs240.
In comparison to its previous closing rate of Rs237.91, the rupee lost 0.42 per cent on Tuesday, ending the day at Rs238.91.
Fears that Pakistan won’t be able to pay its debts have been raised by floods that have harmed 33 million Pakistanis, caused billions of dollars worth of damage and killed more than 1,500 people.
One of the poorest performing currencies in emerging economies, the local currency has lost about 9 per cent of its value so far this month due to a variety of causes.
While Pakistan was able to revive its IMF programme and receive a $3 billion rollover from Saudi Arabia, the record floods have eclipsed everything else and have caused an economic blow of at least $18 billion and possibly as much as $30 billion.
Experts believe that the heavy flooding and lifting of the import ban have put pressure on the rupee. To address the ongoing economic crisis, Pakistan continues to look for assistance from ally nations and international and bilateral organisations.