The Pakistan rupee is in free fall, and there seems a reluctance to do anything about it. The rupee lost considerably in the previous week, and the weekend seems likely to cause only a temporary break. That same understanding with the IMF prevents the use of the reserves for the purpose of defending the rupee. Perhaps the more worrisome aspect of the whole affair is that one major reason for the downward pressure on the rupee has been the need to make payments for imports. Another complicating factor has been the closure of Afghanistani banks, which has meant that there has been downward speculative pressure on the rupee.

Source: Pakistan Today September 12, 2021 19:18 UTC