KARACHI: The Pakistani rupee has dropped to a new all-time low against the US dollar. The dollar traded at Rs225 in the interbank market after a gain of Rs3.01. In the open market, the greenback fluctuated between Rs226 and Rs227.
The rupee has lost value against the greenback for the second consecutive day. The dollar has gained Rs11 since yesterday. According to the State Bank of Pakistan, the surge in foreign currency is caused by the market-determined exchange rate system. The system is affected by the news, current domestic scenario and account position.
Finance Minister Miftah Ismail has called the political turmoil as the primary reason for the devaluation of the rupee. Miftah said that the political situation had created chaos in the market which had affected the local currency. He added that the situation would prevail for a few days.