KARACHI: The Pakistan rupee plunged by Rs 18.97 against the dollar in the interbank trading on Thursday and closed at Rs 285.08 against the previous day’s closing of Rs 266.11.

According to the Forex Association of Pakistan (FAP), the buying and selling rates of dollars in the open market were recorded at Rs 287 and Rs 289 respectively.

According to currency market pundits, the main concern is the delay in the agreement with IMF, however, the lender’s condition to peg the currency rate with that of the grey market also referred to as the Peshawar market had triggered uncertainty.

They maintained that the current rate was too high and shouldn’t have risen that much, adding that in the grey market, the greenback was trading at Rs290 a day ago.

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They feared that the country was “nearing a default situation” owing to this delay.

“Uncertain political situation remained another factor behind the rupee’s depreciation,” they observed.

Meanwhile, the price of the Euro increased by Rs 20.02 and closed at Rs 303.10 against the last day’s closing of Rs 283.08, according to the State Bank of Pakistan (SBP).

The Japanese Yen gained 13 paisa to close at Rs 2.08, whereas an increase of Rs 19.74 was witnessed in the exchange rate of the British Pound, which was traded at Rs 341.26 as compared to its last day’s closing of Rs 321.52.

The exchange rates of the Emirates Dirham and Saudi Riyal increased by Rs 5.16 and Rs 5.06 to close at Rs 77.61 and Rs 75.96 respectively.