The Pakistani rupee recorded another meagre gain against the US dollar in the interbank market on Monday, the week’s first day of trading. According to the information obtained from money dealers, the local currency appreciated by seven paisas and was currently being traded at RS279.52. During the previous week, the Pakistani rupee had continued its slow-paced upward journey for the 11th consecutive week as it gained 0.11 percent or 31 paisas to settle at Rs279.59 against the US dollar in the interbank market. This marginal yet continuous recovery of the local currency had been on the back of approval of $705.6 million as the second tranche of the $3 billion Stand-by Arrangement (SBA) from the International Monetary Fund (IMF).

Last week, the IMF inflow was reflected in the foreign exchange reserves held by the State Bank of Pakistan (SBP). Meanwhile, Caretaker Prime Minister Anwaar-ul-Haq Kakar had directed the Ministry of Energy to prepare and submit a comprehensive and sustainable plan after consultation with the Finance Ministry to reduce the circular debt of power and gas sectors. Moreover, the SBP decided to revamp the foreign exchange trading system and announced to introduce a Centralised Foreign Exchange (FX) Trading Platform called “FX Matching” for the interbank FX market.

Credit: Independent News Pakistan (INP)