US dollar runs over Pakistani rupee's resistance, up by 38 paisas

The US dollar once against reversed the tide against the Pakistani rupee and scored a healthy gain in interbank market on Friday, reported 24NewsHD TV channel.

The Pakistani rupee again started the day on positive note against the US dollar but could not sustain its upper hand as the trading drew to a close.

The Pakistani rupee which gained 60 paisas against the greenback at the start of the business ended the day at Rs218.98, 38 paisas down.

Interbank closing #ExchangeRate for todayhttps://t.co/MFDU1Xf7pn pic.twitter.com/gGrWtxguqC

— SBP (@StateBank_Pak) September 2, 2022

On Thursday, the US dollar struck back at the Pakistani rupee after day-long hammering in the interbank trading. The greenback recovered all the losses against the and also gained 15 paisas in its value.

As the trading concluded on Thursday, the US dollar was up by 15 paisas and closed at Rs218.60.

Interbank closing #ExchangeRate for todayhttps://t.co/X4nH3Yanbp pic.twitter.com/eXpb0sM2d3

— SBP (@StateBank_Pak) September 1, 2022

The IMF on Monday revived Pakistan’s loan programme and its board approved the $1.17 billion loan disbursement thus paving the way for economic headway of otherwise forex reserves-starved country whose currency was fast losing its value. 

It was hoped that after the IMF loan approval, the Pakistani rupee would be appreciated considerably but it could not happen. Though the rupee is making gains but the large-scale destruction by recent floods and rains which have caused massive loss of crops, livestock, bridges, and roads, and the displacement of 30 million people, is hampering rupee’s recovery as country’s exports are bound to suffer and the country has to bear enormous rehabilitation expenses. 

Besides this, the State Bank does not want a significant dollar depreciation believing that the exporters would get benefits from it and off-load their dollar holdings.

Reporter Ashraf Khan