Rupee depreciates for 2nd day, reserves jump

Pakistani currency dropped Rs0.14 to a new two-week low at Rs278.40 against the US dollar in the inter-bank market, maintaining its downward trend for the second consecutive working day amid ongoing talks for a new loan programme potentially by June or July 2024. According to the State Bank of Pakistan (SBP)’s data, the rupee had closed at Rs278.26 against the greenback on Wednesday. The currency has lost a net 0.50%, or Rs1.37, in the past six weeks compared to the five-and-a-half-month high close at Rs277.03/$ in the last week of March 2024. Prior to that, the currency gained 10.85%, or Rs30.07, over a period of six and a half months and reached Rs277.03/$.