The Pakistani rupee reversed Monday’s losses against the US Dollar during intraday trade today after opening trade at 285.6 second day in a row.
The Pakistani rupee was stable es during the afternoon with the interbank rate briefly falling as low as 286 before rebounding. However, open market rates across multiple currency counters stayed on the 310-320 level.
The informal exchange rate was still trading above 310 to as high as 325 with the frenzy of Hajj season and massive crowding at informal exchange channels piling the pressure. Today’s cash rate per dollar in Hundi averaged 318.
At close, the PKR appreciated by 0.02 percent and closed at 285.35 after gaining seven paisas today.
The Rupee was stable today after early-day losses which saw the PKR lose roughly 40 paisas against the USD after opening at the 285 level.
Traders didn’t change their mood over gains today but welcomed the respite after some clarity from the International Monetary Fund (IMF). “The government shared its plans for FY24 which the IMF is currently reviewing. The fact that both sides want the SLA to be presented before the IMF Executive Board is a positive. But markets still expect to see more red in the coming weeks,” one of them remarked.
The Government of Pakistan has shared budget proposals for the fiscal year 2023-24 (FY24) with the International Monetary Fund (IMF), Ministry of Finance (MoF) sources told ProPakistani.
The government is looking to resolve pending budgetary issues with the IMF to unlock stalled funds before the year-end. The forex impact would help the exchange rate normalize if there’s consolidation.
Despite today’s recovery, the rupee is down nearly Rs. 59 since January 2023. Since April 2022, it is down over Rs. 107 against the greenback. As per the exchange rate movements witnessed today, the PKR has gained seven paisas against the dollar today.
The PKR was green against some of the other major currencies in the interbank market today. It gained one paisa against the Saudi Riyal (SAR), two paisas against the UAE Dirham (AED), and 96 paisas against the Euro (EUR).
Conversely, it lost one paisa against the Australian Dollar (AUD), 12 paisas against the Canadian Dollar (CAD) and 38 paisas against the Pound Sterling (GBP) in today’s interbank currency market.