The Pakistani rupee continued to fall against the US dollar, falling roughly 0.45% during the first hours of trading in the interbank market on Tuesday.
At 11:50 a.m., the rupee was trading at 304.43, down Rs1.38 in the interbank market. According to reports, its open market rate has also fallen, expanding the spread between the two currencies even further.
In the interbank market on Tuesday, the rupee hit a record low of 303.05 against the US dollar.
In a similar event, Moody’s Investors Service stated on Tuesday that Pakistan’s deficient infrastructure and governance are further limitations.
According to Moody’s, a lack of fiscal capacity has limited resources allocated to capital spending in Pakistan, where infrastructure quality is much worse than in other large Asian nations.
Globally, the US dollar fell sharply on Wednesday, the most in a month and a half, as investors speculated that softer-than-expected US job data lowered the likelihood of more Federal Reserve rate hikes.
The US dollar index, which compares the currency to six developed-market counterparts, including the yen and euro, was little changed at 103.57, after falling from as high as 104.36 overnight following a steep decline in the US.
Oil prices, a major measure of currency parity, increased further on Wednesday after industry data showed a significant fall in oil stocks in the United States, the world’s largest fuel user, and as investors remained concerned about a hurricane in the Gulf of Mexico.
