Last Updated on: 28th June 2023, 05:54 pm
PAK Rupee Continues To Fall To Record Lows Against The UAE Dirham
The Pakistani rupee struggled against the United Arab Emirates dirham, hitting a nearly three-month low on a combination of political and economic uncertainty, dwindling foreign exchange reserves, dwindling remittances, and a large trade deficit.
The rupee is currently around Rs 62 against the United Arab Emirates dirham and is quoted by online exchange site XE at Rs 62.29, down from its October 2022 level.
Note that it is nearing its all-time low of Rs 65.3. which it reached in September 2022.
Latest data from the State Bank of Pakistan (SBP) shows that remittances fell 3.2% mom and 19% YoY to US$2 billion in December 2022. This decline is evident in the first half of the fiscal year 2022-2023 with $14.100 million in remittances, down 11.1% compared to the same period last year.
In addition, Pakistan’s trade deficit was US$17.13 billion in July-December 2022, compared to US$25.43 billion in the same period last year.
It is imperative that Pakistan address the underlying issues causing this depreciation in the rupee. These include implementing economic reforms, settling political unrest, and increasing foreign investment.
Also Read: PAK Rupee Ended its 15-Day Losing Streak Against The US Dollar On A Massive Oil Slump