Thursday, November 29, 2018

Rupee hits record low against US dollar, inter-bank rate hits Rs144

The rupee weakened to Rs 144 against the US dollar, a historic low surpassing the dip recorded in mid-October, in the inter-bank market on Friday after Islamabad continues talks with the International Monetary Fund (IMF) for a bailout package, Express News reported.

The US dollar opened at Rs 142, an eight rupee increase from Thursday’s close of Rs 134. As a result, the country’s foreign debt touched Rs 760 billion.

Government borrowing from SBP surges to historic high at Rs 5.4 tr
The State Bank of Pakistan will also announce a monetary policy for the next two months on Friday. The current SBP policy rate is 8.50 per cent while sources have said that in light of the IMF’s recommendations, a 100 base point increase in the interest rate is possible.

On October 16, 2018, the rupee hit a historic low, closing at Rs 133.85 to the US dollar.

Last month, Saudi Arabia agreed on an assistance package of $6 billion for Pakistan, including $3 billion in cash and another $3 billion in credit for petroleum oil imports.

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