KARACHI: The Pakistani rupee was quoted to be trading at 162 in the interbank, sliding to its lowest since June 2019 in early trade on Wednesday. However, risk aversion at present is resulting in appreciation of the dollar against other currencies.”The recent slump in the value of the rupee is attributed to the slash in the policy rate. On Wednesday, the State Bank of Pakistan (SBP) cut the policy rate by 150 basis points, from 12.5pc to 11pc. This follows a policy cut from just last Tuesday, where the SBP cut the policy rate from 13.25pc to 12pc. The policy rate cut can be seen as a reason for hot money leaving the country.

Source: Pakistan Today March 25, 2020 08:26 UTC