1 USD to PKR in 2017: A Year of Fluctuating Exchange Rates
Overview
2017 was a year of significant fluctuations in the exchange rate between the US Dollar (USD) and the Pakistani Rupee (PKR). The year saw the PKR experience a mix of appreciation and depreciation against the USD, influenced by various economic and geopolitical factors. In this article, we will explore the exchange rate trend of 1 USD to PKR in 2017 and the key events that shaped it.
First Half of 2017
The year began with the PKR trading at around 104.50 against the USD, which was relatively stable compared to the previous year. However, by February 2017, the PKR started to depreciate, reaching 106.50 per USD due to an increase in the country's trade deficit and a decline in foreign exchange reserves.
Impact of Political Uncertainty
In July 2017, the political landscape in Pakistan underwent a significant shift with the disqualification of Prime Minister Nawaz Sharif by the Supreme Court. This event led to a period of political uncertainty, causing the PKR to depreciate further, touching 108.50 per USD.
IMF Bailout and Economic Reforms
In October 2017, the International Monetary Fund (IMF) approved a bailout package for Pakistan, which helped to stabilize the economy and restore investor confidence. As a result, the PKR began to appreciate, reaching 105.50 per USD by the end of the year.
Key Events and Exchange Rate
Here are some key events that influenced the exchange rate of 1 USD to PKR in 2017:
January 2017
- Exchange rate: 104.50 PKR per USD
- Event: Stable economic conditions and steady foreign exchange reserves
February 2017
- Exchange rate: 106.50 PKR per USD
- Event: Increase in trade deficit and decline in foreign exchange reserves
July 2017
- Exchange rate: 108.50 PKR per USD
- Event: Disqualification of Prime Minister Nawaz Sharif and political uncertainty
October 2017
- Exchange rate: 105.50 PKR per USD
- Event: IMF bailout package and economic reforms
Conclusion
In conclusion, the exchange rate of 1 USD to PKR in 2017 was marked by fluctuations, influenced by political and economic factors. Despite the challenges, the PKR managed to recover towards the end of the year, thanks to the IMF bailout package and economic reforms. The exchange rate trend in 2017 serves as a reminder of the interconnectedness of global economies and the importance of prudent economic management.
