ISLAMABAD: After a marginal depreciation of 10 paisa last day, the Pakistani rupee registered a marginal gain against the American dollar while appreciating slightly by 8 paisa (0.03%) in the inter-bank market on Friday. At close the local currency settled at Rs278.12 against the last day closing of Rs278.20, as per the State Bank of Pakistan (SBP).
Meanwhile, in the open market, the local currency observed a decline of 7 paisa for buying and 14 paisa for selling against greenback to settle at Rs276.64 and Rs279.25, respectively.
In a major development, the inflows of workers’ remittances went up by 27.9% on year-on-year basis to settle at $2.8 billion during April 2024, bringing some relaxation to the local currency.
Pak Rupee Against Other Currencies
Unlike the US dollar, the local currency observed a decline of Rs1.22 against Euro for buying and Rs1.33 for selling to close at Rs296.33 and Rs299.20, respectively.
The Price of UAE Dirham went up by 10 paisa for buying and 9 paisa for selling against the local unit to settle at Rs75.10 and Rs75.80, respectively.
Meanwhile Saudi Riyal witnessed an appreciation of 10 paisa for both buying and 10 paisa for selling against Pakistani rupee to settle at Rs73.40 and Rs74.07, respectively.
Pak Rupee Against US Dollar
Recently the local currency observed both appreciation and depreciation, against the American dollar with recent continues appreciation except the last few days. From September, till middle of October 2023, the local registered improvement for record 28 consecutive sessions against the US dollar, followed by continues fall for 17th consecutive sessions from October till middle of November, 2023.
However at the end of December 2023, and then in January 2024, the local currency mostly registered appreciation against the greenback amid the inflow from the IMF followed by a $2b roll over from the UAE on January 20, 2024. On 29th February, China also rolled over $2b to Pakistan which was due in March 2024. As a result, the local currency appreciated by over Rs 7 in the interbank during last eight to ten weeks.
In another recent development Pakistan received $1.1 billion from the International Monetary Fund (IMF) in the final tranche of the $3 billion Stand-By Arrangement (SBA), on April 30. Pakistan is now looking to get a handsome and longer Extended Fund Facility (EFF) of the IMF programme to further expedite its economic outlook. However, the public must be ready for further increase in prices in the country as the new IMF agreement is likely to be followed by further taxation.
