Pakistan's debt increased by 2500 billion rupees in one day

As the dollar costs one rupee more, the value of foreign borrowing rises by 130 billion rupees.

The country's external debt has climbed by at least 2.5 trillion rupees as a result of Thursday's historic rise in the value of the dollar.

After the open market closed on Thursday, the unannounced "cap" placed on the value of the dollar in the inter-bank market was also lifted. As a result, the dollar's value experienced an exceptional rise and reached 255 rupees during the trading period. A day ago, it was worth 230.89 rupees, meaning that the dollar's value had increased by more than 24 rupees.

The dollar increased to 260 rupees.

After the open market closed on Thursday, the unannounced "cap" placed on the value of the dollar in the inter-bank market was also lifted. As a result, the dollar's value experienced an exceptional rise and reached 255 rupees during the trading period. A day ago, it was worth 230.89 rupees, meaning that the dollar's value had increased by more than 24 rupees.

The Growth of External Debt

The value of Pakistan's external debt, which is estimated to be around 130 billion dollars, is also significantly impacted by the rise in the value of the dollar. According to economic specialists, the dollar will be worth at least 250 rupees, or 250 rupees to 230.89 rupees. The figures show that external loans have grown by 2,500 billion rupees in a single day. Additionally, if one dollar is worth 255 rupees, the value of the rise in external debt will be 3 trillion rupees.

Price Increases for Imported Items

Up to 80% of Pakistan's raw resources are imported, and as a result, the cost of manufactured items made from these raw materials would likewise rise as a result of the strengthening of the dollar. If the value of the dollar rises, the cost of imported goods will also rise proportionately.

Is Leaving the Dollar Open the Best Course of Action?

The consensus among economists is that the dollar should be left open to market demand and supply. The requirement that the dollar's value follow the workings of the market mechanism while the government forbids interbank and open market exchange is another of the IMF's fundamental requirements. The dollar's value was frozen, which led to the emergence of the black market and the transition of all transactions to the shadow economy. It is safe, according to experts, to base the dollar on the market. After a half-day of an unusual circumstance, the dollar will resume trading at its initial price.