KARACHI: Rupee continued its downward spiral against dollar for ninth consecutive session owing to bleak economic situation due to unprecedented flooding across country. In interbank market, domestic unit fell Rs 2.40 to close at Rs 234.32, down in value from previous close of Rs 231.92 against dollar, according to data released by State Bank of Pakistan.

Apart from floods that even overshadowed restoration of International Monetary Fund’s programme revival, country is also witnessing political instability, which has kept investors on their feet. Exchange Companies Association of Pakistan General-Secretary Zafar Paracha told that it was expected that once International Monetary Fund’s loan comes in, rupee would gain ground against dollar and it did as it appreciated by Rs 2. Paracha said that Asian Development Bank, World Bank and friendly countries Saudi Arabia, UAE and Qatar are still reluctant to give loans and invest in Pakistan.

“Main reason behind this political instability,” Paracha said, noting that on day that IMF’s Executive Board was about to approve handing over amount to Pakistan, PTI’s governments in Punjab and KP announced that they will not fulfil IMF requirements. “No one is performing to provide relief to people and no one is willing to restore economy. Everyone is playing blame game.” But apart from criticising government functionaries, Paracha praised State Bank of Pakistan saying that institution has played an effective role through various policies over time.

Published in The Daily National Courier, September, 15 2022

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