Since December, the rupee has cumulatively shed close to 9% of its value after the central bank reportedly abstained from intervening in response to the pressure due to a widening current account deficit
PHOTO: AFP
The State Bank of Pakistan has maintained that the slide in the rupee’s value is due to supply and demand dynamics of foreign exchange in the inter-bank market. While it has promised prompt intervention in case of speculative or momentary pressures, the central bank will sit on the fence and let “market-driven adjustment in the exchange rate to continue to contain the imbalance in the external account and sustain a higher growth trajectory”, according to a press statement.
Published in The Express Tribune, June 5th, 2018.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.
1725030039-0/Untitled-design-(2)1725030039-0-165x106.webp "article")
1725366721-0/kyle-(1)1725366721-0-165x106.webp "article")
1732084432-0/Untitled-design-(63)1732084432-0-270x192.webp "usd exchange rate rupee falls slightly against dollar")
COMMENTS (1)
Comments are moderated and generally will be posted if they are on-topic and not abusive.
For more information, please see our Comments FAQ