Dollar, being the most widely used foreign currency for global trade impacts the prices within Pakistan. There is no denying the fact that ever since the start of 2018 the rupee has been sliding compared to US Dollar and these days it is at an all time low. This becomes a core cause for inflation in the country as commodities are usually priced up as petrol prices are usually raised. Although it does not directly affect the local sale purchase of property but when it is about the investments by overseas Pakistanis, securing their ROI can be risky as they measure in the foreign currency they have invested.
When inflation is already high, further slide of the Rupee makes people jump out of their skins. As it becomes difficult to makes both ends meet for the common man, buying a new property seems totally out of the context. Thus it indirectly does affect the real estate market but in a small way as investors are usually well off people who are investing their savings rather than daily earnings. The devaluation of currency is mainly because of the political situation in the country as when foreign reserves are down the impact is lethal. The devaluation creates a negative image in the eyes of foreign investors who are equally important to keep the market running smoothly. READ MORE
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