Pakistani rupee depreciated by 31 paisas (-0.18 percent) against the US dollar for the second straight day on Tuesday.
The State Bank of Pakistan said in a statement that the dollar opened at Rs175.47 in the interbank market and closed at Rs175.78. The rupee witnessed a trading range of 43 paisas during the session, showing the intraday high bid of 175.90 and low offer of 175.55. Within the open market, the rupee was traded at 176.50/177.50 per dollar.
The rupee shed Rs1.07 against the American currency during the last two days, while it has depreciated by Rs18.35 during the ongoing fiscal year 2021-22. However, the local unit has appreciated by 73 paisas during the current year 2022.
According to market experts, the rupee is enduring the pressure of trade deficit and elevated demand for dollars in the interbank market due to geopolitical issues. They said that the rupee is also bearing the brunt of rising commodity prices amid the ongoing tussle between Russia and Ukraine which has disrupted the world commodity and stock markets.
They said that high oil prices in the international markets have also escalated the demand for the dollars. Though oil prices came down on Tuesday after hitting their highest in more than eight years, they are still very high. Pakistan is the net importer of crude oil to meet its domestic demand. The oil import bill of the country surged to $10.18 billion during the first half (July-December) of 2021-22 compared to $4.77 billion during the same period of the last fiscal year.
