close
Advertisement
Can't connect right now! retry

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!

add The News to homescreen

tap to bring up your browser menu and select 'Add to homescreen' to pin the The News web app

Got it!
June 30, 2020

Rupee extends losses

Business

June 30, 2020

KARACHI: The rupee lost further grounds on Monday due to increased demand for dollars as multinational companies’ repatriated dividends following the end of the fiscal year.

In the interbank market, the rupee closed at 168.18 per dollar, compared with the previous close of 167.66. The rupee weakened by 52 paisa against the greenback during this session.

Dealers said the local unit remained under pressure as foreign corporations bought dollars to repatriate dividends to their parent companies at the end of the current fiscal year. Moreover, external debt repayments also added pressure on the domestic currency. Pakistan has to make $30 million debt repayments to the International Monetary Fund under the extended fund facility on June 30 (Tuesday). “We expect the local currency to stay stable in the coming days due to reduced demand for dollars,” said a foreign exchange dealer. “The central bank is likely to intervene in the market to stabilise the rupee.” Market participants said $1.3 billion close outs done by exporters in the past four weeks also put pressure on the exchange rate. Rupee ended weaker at 168.40 against the dollar in the open market deals. It had settled at 167.90 on Friday. Traders said the rupee could have fallen sharply if the inflows of $1.725 billion from the multilateral sources did not materialise last week.