Web Desk (LTN NEWS): On Friday, the Pakistani currency lost 0.17 percent of its value or 0.38 rupees against the US dollar. It closed at Rs218.98, putting an end to the three-day run of gains.
“The trend went down after the International Monetary Fund (IMF) said that the average value of the rupee (against the US dollar) would be Rs226 in the current fiscal year 2023,” said Fahad Rauf, head of research at Ismail Iqbal Securities.
“The small change of 0.17 percent shouldn’t be called depreciation. When a currency is consolidating, it goes up and down,” he said.
Read: PKR gains Rs1.48 after IMF deposit
The IMF’s forecast and the fact that important economic indicators are getting better suggest that the currency will stabilize between Rs220 and Rs225.
The rupee could lose value if the US dollar gets stronger against other currencies around the world.
In the last couple of weeks, the central bank’s foreign exchange reserves have been used up at a slower rate than in the months before. This means that inflows are getting better and outflows are getting smaller,” he said.
