Cumulatively, rupee has weakened by over seven per cent, or over Rs10 in the four days. “The exchange rate… came under pressure in the last few days,” the central bank said in its latest monetary policy statement issued on Monday. “SBP will continue to closely monitor the situation and stands ready to take measures, as needed, to address any unwarranted volatility in the foreign exchange market,” it said. IMF had conditioned to let the market forces decide rupee-dollar exchange rate going forward. There was speculation in the market that the rupee may drop to 165-170 to the US dollar under the current cycle of depreciation.

Source: The Express Tribune May 21, 2019 07:52 UTC