The Pakistani rupee plunged during Wednesday’s trade as the market was jittery after the International Monetary Fund (IMF) asked the federal government to meet “new demands”.
The rupee fell 4.61 or 1.73% against the US dollar to close at 266.11 in the interbank market, according to the State Bank of Pakistan’s (SBP) data, down from the previous close of 261.50.
Is should be noted that the Washington-based lender has asked Pakistan to implement four prior actions, including the imposition of a permanent surcharge of Rs3.82 per unit on electricity.
The implementation of all four prior actions can pave the way for striking a staff-level agreement and the release of over $1 billion tranche under the $6.5 billion Extended Fund Facility (EFF) signed in 2019.
Policymakers negotiating on behalf of Pakistan have called these prior actions unjustified, the publication stated.
