For the first time in history, the US dollar has touched the record level of Rs.288 against the Pakistani rupee in the interbank market. According to the information received from the forex dealers, the greenback on Tuesday bulldozed whatever resistance the local currency has been putting up during the last few sessions, and went up massive in the interbank market. The US dollar surged by Rs2.96 as was currently being traded at Rs288.

On Monday, the Pakistani rupee had remained under pressure against the US dollar, depreciating by 0.44% in the inter-bank market, settling at 285.04, a loss of Rs1.25. The main catalyst for the US dollar’s thrust was appeared to be the latest Asian Development Bank report released early Tuesday which drew a dismal picture of the Pakistani economy amid absence of any IMF programme.

The Bank in its report said Pakistan’s economic growth is expected to slow significantly in FY2023 (ends 30 June 2023) in the wake of last year’s devastating floods, ballooning inflation, a current account deficit, and an ongoing foreign exchange crisis. The ADB said Pakistan’s gross domestic product (GDP) growth is projected to slow to 0.6% in FY2023 from 6% last fiscal year as the economy struggles to recover.?Growth is forecast to rise to 2% in FY2024, assuming the resumption of macroeconomic stability, implementation of reforms, post-flood recovery, and improving external conditions.

Credit : Independent News Pakistan-INP