Dollar shoots up to above Rs 300

KARACHI: The Pakistani rupee continued to deteriorate, with midday interbank exchange rate hovering around PKR 300.75 per USD on Friday.

The interbank market witnessed a notable increase in the value of the US dollar, with a rise of 28 paisas. This surge has elevated the interbank trading rate to Rs300.75 per dollar, reflecting a significant shift in the currency exchange landscape.

According to data and research platform Capital Stake, USD touched a day’s high of Rs. 302.028 in the open market.

This shows that PKR has lost nearly Rs. 6 since the opening of the current trading week, when it was hovering around a high of Rs. 296.768 on Monday morning.

Dollar touches 300 mark

The persistent deterioration of PKR is expected to add further pressures on the already debilitating inflation unfolding in the country’s economy. Fuel price adjustment is likely from September 1, in response to the shifting exchange rate as well.

Meanwhile, the caretaker finance minister Shamshad Akhtar issued orders to take unregistered currency dealers to task to prevent the currency deterioration, while ignoring the real issues behind this corrosion, including illegal currency trade, smuggling etc.

On the other hand, the official reserves of domestic foreign exchange have decreased by USD 125 million. State Bank of Pakistan (SBP) released weekly update on foreign exchange reserves revealing data up to August 18.

According to SBP, the value of the total foreign exchange reserves has been recorded at USD 13.248 billion. Out of these USD 7.93 billion are net reserves with SBP, and USD 5.3179 billion are net reserves with the commercial banks.