Pakistan's Economy: Will the rupee continue to appreciate against the dollar ?

The Pakistani currency has been trading against the dollar since the end of August this year

The rupee has seen an increase


The Pakistani rupee has been appreciating against the US dollar for the past several weeks. The Pakistani currency has appreciated by nine and a half rupees against the dollar since the end of August this year.

In the last days of August, the price of one dollar was Rs 168.43 which has now improved to Rs 158.91. The dollar was trading at around Rs 154 in February this year, but since then the rupee has depreciated sharply and the dollar has crossed the Rs 168 level against the local currency.

The depreciation of the Pakistani rupee against the dollar on the one hand made the country's imports more expensive and on the other hand it also led to an increase in the inflation rate in the country. Currency traders and economists are attributing the appreciation of the rupee to a few steps taken by the government and some positive economic indicators.

How much did the rupee appreciate?

Analyzing the appreciation of the Pakistani currency, economist Khurram Shehzad said that if one looks at the value of the dollar and the rupee since October 1, the rupee has appreciated by 3.1 percent.

He said that due to the appreciation of the rupee since October, the Pakistani rupee has become the third most valuable currency in Asia against the dollar.

He said that during this period only the currencies of Indonesia and South Korea appreciated more than the Pakistani currency. The Indonesian currency gained 4.5 percent against the dollar during the period, while the South Korean currency gained 3.6 percent against the US dollar.

Due to the appreciation of the rupee since October, the Pakistani rupee has become the third most valuable currency in Asia against the dollar.


Malik Bostan Khan, president of the Forex Association of Pakistan, says the dollar was worth about Rs 154 in February, but the lockdown caused by Corona Warriors in the country has alarmed foreign investors. As a result, سا 3.5 billion of the country's investment in treasury bills flowed out of the country, putting the country's currency under pressure and causing a historic decline in its value.

He says, however, that the rupee has been appreciating in recent weeks, and this increase is very noticeable in the short term.