He said that ever since the talk began about going to the IMF, Pakistan's currency has seen a massive devaluation
. There has been a devaluation
of around 29% since August 2018 and 13% since May 2019.
of approximately 32% of the Pakistani Rupee has had no impact on the growth of exports in dollars.
theoretically boosts the incomes of exporters, since any US dollar earnings translate into more Australian dollars.
As such, due to devaluation
, their costs will also increase, resultantly increasing the cost of exportable goods," he summed up.
The rupee devaluation
is contributing towards high inflation and slowing down growth by adversely impacting all the important sectors of economy.
He said tsunami of inflation is lashing general public after rupee devaluation
While this might feed into the PTI narrative of people trusting Imran Khan, it is not explained by the devaluation
, unless one is to accept the rather convoluted argument that overseas Pakistanis have sent home foreign currencies to benefit from a depreciating rupee.
The same refers to the loans taken before the second devaluation
The rupee has lost about 35 percent since the first devaluation
in Dec 2017.
In a statement, he said that frequent devaluation
is disturbing the entire system and inflation is going unbounded and no strings can be attached to control the inflation
Defending the decision, he shifted the blame onto the PML-N, saying the devaluation
was imminent due to the flawed policies of the previous ruling regime.
Trade and industry in Pakistan has expressed its reservations over rupee devaluation
and the increase in interest rate to 10%.
was expected but we were not expecting such big depreciation in a single day," Fahad Irfan, Head of Research at Alfalah Securities, told Arab News.
of the Iranian rial from early 2018 led to a surge in demand for foreign currency.
The Nigerian government started the devaluation
of the naira in 1986 under Babangida's Structural Adjustment Program (SAP) following the recommendation of the International Monetary Fund, IMF, and the World Bank to devalue the Naira which they claimed was overvalued.