Pakistan rupee hits record low of 88.80 to the dollar

[.BZU.]

The Pakistani rupee continued to depreciate for a fourth day on Thursday against US dollar, as it hit a record low of 88.80 to the dollar. Currency dealers said that there were import payments lined up for the next few days so it the rupee likely to remain under pressure.
The rupee continued to drop despite a decision on Wednesday by the State Bank of Pakistan to keep its key policy rate unchanged at 12 percent for the next two months.
Some analysts had expected a cut of 50 basis points. A cut in interest rates can spark further currency depreciation because of higher lending and money supply.