Dollar reaches Rs125 against PKR in open market

Pak Rupee surged to all-time high of Rs125 against US dollar in the open market on Wednesday, after gaining by a further Rs0.5 from Tuesday.

However, in the interbank market dollar weakened by Rs0.33 and was being traded at Rs121.40, after climbing to Rs121.73 earlier, reported local media.

The US dollar hit a record high of Rs121 in interbank trading on Monday, after the State Bank of Pakistan (SBP) devalued the currency for the third time since December.

The hike comes amid mounting economic pressure and speculation that the country may need International Monetary Fund support. Meanwhile, increasing imports and a widening current account deficit were also cited as the possible reasons.

Earlier this year in March, the US dollar had shot up by Rs4.93 in the interbank market to hit a high of Rs 115.50 before coming down to Rs 115 at the close of business.

As per data compiled by Bloomberg, the nation’s currency is the worst performer in Asia since December before today’s drop.