The rupee has been under pressure due to import and oil payments and may fall further due to strong demand for the dollar from importers, a dealer said.
The rupee has also remained under pressure due to debt servicing to the International Monetary Fund (IMF).
The country has to pay $3.4 billion in 2012-13, $3.43 billion in 2013-14 and $1.35 billion in 2014-15 to retire the loan.
The country’s foreign exchange reserves will continue to face pressure due to debt servicing in the next three years.
According to reports, a balance of payment crisis is being predicted after March 2013, as the country’s forex outflows are likely to remain at $1 billion per month. Overnight rates in the money market remained flat at 9%.
Published in The Express Tribune, February 8th, 2013.
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