British pound drops to its lowest level in 168 yearsOctober 14, 2016 - 12:00 AMT PanARMENIAN.Net - The British pound has fallen to a low measured against a basket of trading currencies not seen since the mid-19th century, according to the Bank of England (BoE), RT reports. The effective exchange rate, calculated to mirror UK trade, is at rock bottom after hitting a low of 29.27. The mark is lower than the level sterling hit during the financial crisis, the introduction of floating exchange rates of the 1970s, and even the decision to leave the gold standard in the 1930s. On Tuesday, October 11 sterling fell to a 31-year low against the US dollar over concerns of a possible “hard Brexit.” It traded as low as $1.2117 against the greenback. Under the BoE’s current formula for the trade-weighted index, the biggest contributors to the currency basket are Germany (22.5 percent), US (16.5 percent), France (12.6 percent), Italy (8.3 per cent) and Japan (seven percent). The pound rebounded slightly on Wednesday after Prime Minister Theresa May announced she would hold a parliamentary debate on Brexit proceedings and promised to fight for “maximum possible” access to EU markets. Some analysts warn the British pound might fall out of the International Monetary Fund's elite basket of reserve currencies due to its continuing nosedive. Sterling has dropped 17 percent against the US dollar since Britain voted to quit the European Union. The currency has come under renewed pressure and losses accelerated after Prime Minister Theresa May announced plans to trigger the process for the UK’s formal exit. Related links: Top stories Authorities said a total of 192 Azerbaijani troops were killed and 511 were wounded during Azerbaijan’s offensive. In 2023, the Azerbaijani government will increase the country’s defense budget by more than 1.1 billion manats ($650 million). The bill, published on Monday, is designed to "eliminate the shortcomings of an unreasonably broad interpretation of the key concept of "compatriot". The earthquake caused a temporary blackout, damaged many buildings and closed a number of rural roads. Partner news | Fly Arna license suspended, says Armenia official The license of the Armenian airline Fly Arna has been suspended for six months, an official says. President stresses Armenia’s clear position to achieve peace On the eve of the International Francophonie Day, the Armenian President met with French intellectuals. Termination of servicing of MIR cards. IDBank It will not be possible to ensure the full operation of MIR cards in IDBank’s POS-terminals and ATMs Pashinian meets border villagers on possible land transfer to Azerbaijan Prime Minister Nikol Pashinyan has met with concerned residents of two villages in Armenia’s northern Tavush province. |