Karachi: Rupee touched record low as country struggles to unlock critical International Monetary Fund (IMF) funding while dwindling foreign exchange reserves become another source of concern for investors. Domestic unit in interbank market closed at 287.29 against dollar, 0.78 percent or Rs 2.25 down from Monday’s close of 285.04. Last month, rupee hit record low, closing at Rs 285.09 per dollar on March 2, 2023, data released by State Bank of Pakistan (SBP) showed.

Financial pundits believe that importers have resumed panic buying of dollars, while supply of foreign currency remained low in interbank market.

Cash-strapped nation secured $ 6 billion IMF bailout in 2019. It was topped up with another $ 1 billion last year to help country following devastating floods, but IMF then suspended disbursements in November due to Pakistan’s failure to make more progress on fiscal consolidation.

IMF’s resident representative for Pakistan said country has few more tasks to complete to meet requirements for $ 6.5 billion bailout.

Published in The Daily National Courier, April, 05 2023

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