Pakistani rupee near all-time low after attack at stock exchange

The Pakistani rupee fell to near all-time low against the UAE dirham on Monday morning after militants attacked the Pakistan Stock Exchange, resulting in the death of six people including four gunmen.

The rupee dropped to 45.64 against the UAE dirham as compared to 45.58 on the previous close. The rupee had hit an all-time low of 45.82 on March 29, 2020.

Traders said a major disaster was averted because fewer people were present in the stock exchange building due to the lockdown and remote working policy by the offices.

"Thank God, the damage has been controlled. There could've been many more casualties due to the high number of people inside the building," said Samiullah Tariq, head of Research & Development at Pakistan Kuwait Investment Company.

The rupee, however, recovered as the situation was brought under control by the law enforcement agencies. After slipping into negative territory in the morning following militant attack, the stock exchange also recovered and was trading up 95 points or 0.28 per cent.

Tariq says pressure on the rupee will ease off after June 30 as more foreign fund inflows are expected. However, as inflation differential exists, the currency can reach 170 versus dollar (46.32 against dirham) by December-end.

waheedabbas@khaleejtimes.com