US Dollar expected to drop by Rs50 against Pakistani rupee in coming year: report

Source: Daily Pakistan Global

KARACHI - Pakistani rupee is expected to strengthen by a staggering Rs55, or approximately 20pc, in the coming year, potentially reaching as high as 220 against the US Dollar.

A report shared by ProPakistani said the greenback will take a dip against PKR.

With falling inflation, there could be further decreases in interest rates, easing pressure on the exchange rate, the recent report, quoting an anonymous former State Bank official said.

Investment banking company Goldman Sachs earlier predicted a similar trend for the Pakistani rupee, stating it was nearly 20pc undervalued and offered about 26pc nominal carry over a 12-month period.

The report further mentioned that macroeconomic factors would be influenced by political stability. It also mentioned that external financing risks would be managed as Pakistan moves towards an extended program with the global lender.