According to reports, the value of the Pakistani rupee has fallen from Rs 123 against the USD in August 2018 to Rs 177 against the USD in December 2021. This makes it one of the loftiest devaluations of the currency in the country’s history.
Islamabad (Pakistan) The Pakistani rupee has downgraded30.5 per cent against the US bone in the last three times and four months under the current government of Pakistan Prime Minister Imran Khan. According to The News International, the value of the Pakistani rupee has fallen from Rs 123 against the USD in August 2018 to Rs 177 against the USD in December 2021, a decline of30.5 per cent over the last 40 months. This makes it one of the loftiest devaluations of the currency in the country’s history.
Specially, the only other advanced devaluation passed following the fall of Dhaka, and Pakistan’s currency was devaluated by 58 per cent from Rs4.60 to Rs11.10 against the USD in 1971-72. Former profitable counsel Dr Ashfaque Hassan Khan said that there was a complete breakdown of profitable policymaking as the country s financial policy had come subservient to financial and exchange rate programs. He further said that the financial tightening and exchange rate deprecation redounded in advanced affectation, public debt, and debt servicing, The News International reported.
The empirical substantiation showed that the one per cent financial tightening hiked the inflationary pressure by1.3 per cent in the case of Pakistan. Experts comment that the massive devaluation of currency under the Imran Khan government fueled inflationary pressures. They believe that the deprecation of the exchange rate by30.5 per cent led to advanced affectation, the report said.