Rupee plunges to an all-time low of Rs176.42 amid widening trade deficit

• Rupee loses nearly Re1 against US dollar.
• Rupee last dropped to record low in November.
• Local unit has maintained downtrend for past 6 months.

KARACHI: The Pakistani currency plunged to an all-time low of Rs176.42 against the US dollar in the inter-bank market on Thursday amid a strong demand of the greenback as a higher-than-expected account deficit exerted pressure on the already fragile rupee.

According to the State Bank of Pakistan (SBP), the local currency closed at Rs176.42 against the greenback today, while it traded at Rs175.48 on Wednesday.

It is pertinent to mention here that the country reported the highest-ever monthly trade deficit of $5.1 billion during the month of November.

The local currency last dropped to a record low of Rs176.20 against the US currency on November 29.

The rupee has maintained the downtrend for the past six months. It has lost 15.85% (or Rs24.15) to date, compared to the 22-month high of Rs152.27 recorded on May 14.

With a fresh decline of 0.53%, the rupee has depreciated by 11.98% (or Rs18.88) since the start of the current fiscal year on July 1, 2021, data released by the central bank revealed.