US dollar reaches record high against rupee in interbank amid political uncertainty

ISLAMABAD: The US dollar on Monday reached a record high against the rupee in the interbank amid political uncertainty in the country following a landslide victory of the PTI in the Punjab by-polls, ARY NEWS reported.

According to forex dealers, the dollar gained value by Rs4.80 against the rupee in the interbank and traded at Rs215.75. In the open market, the greenback traded between Rs216 and Rs217.

It is pertinent to mention here that Pakistan Tehreek-e-Insaf (PTI) has emerged victorious in the majority of the seats in the crucial by-polls on the 20 Punjab Assembly seats.

According to the unconfirmed and unofficial results, results of 20 seats have been finalized, with PTI clinching 15 and PML-N winning just four.

The results have made PTI the leading party in the Punjab Assembly along with PML-Q, paving way for the removal of CM Punjab Hamza Shahbaz, further creating problems for the PM Shehbaz Sharif-led federal government.

The rupee made some gains in the previous week after the International Monetary Fund (IMF) and Pakistan reached a staff-level agreement for the release of US$1.17 billion under the combined 7th and 8th reviews of Pakistan’s Extended Fund Facility (EFF).

A statement issued by the Fund said that the agreement is subject to approval by the IMF’s Executive Board.

“Additionally, in order to support program implementation and meet the higher financing needs in FY23, as well as catalyze additional financing, the IMF Board will consider an extension of the EFF until end-June 2023 and an augmentation of access by SDR 720 million that will bring the total access under the EFF to about US$7 billion.”