US Dollar Reaches All-Time High Against Pakistani Rupees, $1 equals Rs167

The United States dollar continued its climb against the rupee on Thursday, closing at an all-time high of Rs167 in the interbank market, according to rates provided by the Exchange Companies Association of Pakistan.

After staying calm for almost half a year, the currency market started witnessing volatility from March 9 when rupee lost Rs3.65 in a single day.

The value of the US Dollar has been rising against PKR for the past three days, USD rose to Rs162 after a rise of three Pakistani rupees at the interbank on Wednesday. Today after the USD value increased by Rs5.90 at interbank reaching the highest level in history at Rs167.50.

In addition, the emergency rate cut by the State Bank of Pakistan on Mar 24 has further hastened foreign unloading in the treasury bills, which do not offer as high a return anymore, according to currency dealers.

During this month, foreigners have divested over $1.5 billion from the T-bills, with outflows on Mar 25 alone standing at $71m.

Meanwhile, the open market witnessed no change as the dollar held steady at Rs160 but that is largely because the exchange

companies were mostly closed due the ongoing lockdown.

At the start of the week, Pakistani stocks fell as investors and analysts expressed doubt over the reported conditions of the deal.

For more than a year now Pakistan has struggled to stave off a looming balance-of-payments crisis while its economy teeters due to low growth, soaring inflation, and mounting debt.