KARACHI: The US dollar after days of hike in the open market saw a decline against the rupee on Monday after it shed Rs3. Rate of US dollar against rupee is declining.
According to forex dealers, the US dollar shed Rs0.37 in the interbank and traded at Rs239.37 as the banks are still selling the greenback at Rs243. In the open market, after touching the Rs250 mark, the US dollar declined to Rs247.
The rupee’s freefall continued on early Friday against the US dollar in the interbank, however, it reversed the losses in the second half amid reports that COAS Qamar Bajwa has approached US for playing a role in the immediate release of a US$1.2 billion tranche.
Rate of US dollar against rupee
According to the State Bank of Pakistan (SBP), the rupee rose by Rs0.57 in the interbank and traded at Rs239.37. “The banks are selling US dollar at Rs242 while in the open market, it being exchanged between Rs242 and Rs244,” the forex dealers said.
Previously, the State Bank of Pakistan (SBP) attributed the 11-rupee change in the exchange rate in just two days to the “market-determined exchange rate system” under which the current account position, news stories, and domestic uncertainty contribute to the daily currency fluctuations.
In an apparent attempt to downplay the depreciation, the SBP said a “better measure” of the rupee’s strength is the real effective exchange rate, which takes into account the currencies in which Pakistan trades in inflation-adjusted terms.
1/3 #SBP and MoF has issued a joint press release stating 5 important facts about Pakistan’s Strategy for Navigating FY23. 1) Pakistan’s problems are temporary and are being forcefully addressed. 2) Pakistan’s gross financing needs will be more than fully met under IMF program.
— SBP (@StateBank_Pak) July 31, 2022
