The US dollar continued its rise against the Pakistani rupee on Wednesday, trading at Rs206.25 in the interbank market.
The development comes as the country is engaged in talks with the International Monetary Fund for the resumption of the $6 billion extended loan facility.
The dollar has seen a continuous rise in the past couple of days, closing at Rs205.16 on Tuesday and Rs203.85 on Monday.
The dealers in foreign exchange market have said that the continuous fall in value of rupee depends heavily upon the approval of budget according to demands of IMF.
A local media report citing the director of Mettis Global, an online financial data and analytics portal, stated that the cause of the pressure on rupee was the delay in talks with the IMF and the ongoing Financial Action Task Force session set to decide Pakistan’s status in the grey list.
IMF has already stated that additional measures would be required in order to bring the budget 2022-23 in-line with objectives of IMF programs.
The IMF has also expressed concerns about the personal income tax propositions in the budget for fiscal year 2022-23.
On Monday, the International Monetary Fund (IMF) has raised its concerns over Pakistan’s budget for the fiscal year 2022-23, demanding that the government take additional measures.
In a statement Esther Perez, IMF’s representative to Pakistan, said that more measures needed to be taken so that the loan program could be kept on track with the key objectives of the IMF.