EPBD opposes further devaluation of PKR

Chairman Economic Policy & Business Development (EPBD) Think Tank, Gohar Ejaz, has strongly opposed any further devaluation of the Pakistani Rupee, warning that such a move would trigger a new wave of inflation and damage the country’s economic stability. Ejaz said that certain elements are supporting devaluation for personal gain, but Pakistan does not need a weaker currency it needs stability. He said that Pakistan’s Real Effective Exchange Rate (REER) has been recorded at 104, indicating that the rupee is already aligned with fundamentals. According to him, the currency has stabilized at Rs278–282 per dollar, leaving no justification for further depreciation. “Devaluation will unleash a storm of inflation and push imports to emergency levels,” he warned. Ejaz argued that weakening the rupee would not improve Pakistan’s competitiveness, adding that 92 percent of the economy is hurt by currency devaluation rather than helped. With 50 percent of the population already living below the poverty line, he urged policymakers not to burden the poor any further.