Pakistani rupee significantly declines against USD

Pakistani rupee has suffered a significant decline against the U.S. dollar as the greenback was traded at 283.04 rupees in the interbank market on Tuesday, according to the State Bank of Pakistan (SBP).

The U.S. dollar closed at 279.26 rupees on Monday. On the second working day of the week, the local currency depreciated by 3.78 rupees, or about 1.34 percent, against the U.S. dollar, official figures showed.

Over the past few weeks, the rupee went through a strengthening streak after Pakistan's agreement with the International Monetary Fund followed by commercial loans from foreign countries.

However, the political and economic instability is causing uncertainty in the business environment, resulting in a shortage of the greenback in the market.

The local currency is expected to weaken further in the coming days amid the loan repayments which Pakistan has to pay in the near future, according to market analysts.

Source: Xinhua Finance Agency