The recent devaluation of Pakistani rupee against dollar by the State Bank of Pakistan (SBP) hints at further deterioration of our economy. The current Rs115.5 per dollar situation is creating problems for foreign exchange traders and the country. Last December too, the SBP devalued currency by five percent.
It is speculated that the currency is likely to be devalued due to accounts deficits and political instability during the period between the upcoming interim government and the general elections. The SBP needs to take action to manage foreign reserves and control this devaluation in an effective manner.
Ubaid Zehri
Khuzdar
