July 21, 2024

Pakistan’s Rupee Falls Against the Dollar Following an IMF Update.

Here’s some fresh news on the Pakistani currency for you. Today, the Pakistani rupee kicked off trading at 279 in the interbank market, but unfortunately, it wrapped up the week on a downbeat note against the US dollar.

Pakistan's Rupee Falls Against the Dollar

Despite not managing to pick up any ground against the US dollar throughout today’s trading session, it pretty much held steady against it. The interbank rate hovered around 280 for the better part of the day before settling at 279 at closing time. Over at the open market, the rates danced between $279 and $280 across various currency exchanges.

Closing at 279.36 against the dollar, the PKR experienced a slight dip of three paisas or 0.01 percent. Looking back over the current fiscal year, the rupee has managed to gain a modest 2.36 percent.

However, zooming out to a broader perspective, the rupee’s journey since January 2023 hasn’t been as rosy, witnessing a decline of around Rs. 60. And since April 2022, it’s taken a hefty hit of more than Rs. 107 against the US dollar.

Today’s drop of three paisas can be attributed to the fluctuations in exchange rates observed throughout the day.

In a noteworthy development on the political front, Imran Khan, the founder of Pakistan Tehreek-e-Insaf (PTI), stirred things up by reaching out to the International Monetary Fund (IMF), urging for an audit of the recently concluded General Elections. However, the IMF has opted to remain tight-lipped about the matter.

When pressed for comments during a press briefing on Thursday, Julie Kozack, Director of Communications at the IMF, refrained from delving into current political affairs. She maintained a similar stance when questioned about the incarcerated former Prime Minister.

On a brighter note, there’s been progress regarding Pakistan’s compliance with the Stand-By Arrangement requirements. Kozack disclosed that the IMF Executive Board had given the green light to the SBA’s first review, paving the way for the disbursement of $1.9 billion under the Stand-By Arrangement, including the upcoming third trench payment of $1.1 billion.

“The Stand-By Arrangement is playing a pivotal role in the government’s efforts to stabilize the economy, with a particular focus on protecting the most vulnerable segments of society,” the spokesperson emphasized.

Today, in the interbank market, the Pakistani rupee (PKR) showcased strength against several major currencies. Compared to these currencies, PKR stood higher. Here’s a breakdown of its performance:

  • Against the Canadian dollar (CAD), PKR gained by 42 paisas.
  • Compared to the British pound (GBP), PKR strengthened by 43 paisas.
  • PKR surged by 50 paisas against the Australian dollar (AUD).
  • The euro (EUR) saw a significant decline against PKR, with the Pakistani currency winning by 81 paisas.

However, PKR experienced a slight dip against some currencies:

  • It was down by one paisa in comparison to the UAE Dirham (AED).
  • Similarly, the PKR also slipped by one paisa against the Saudi Riyal (SAR).

This performance indicates a mixed but generally positive trend for the Pakistani rupee in today’s interbank currency market.

Also Read: Apply Now for SBP’s Art Competition: Design New Banknotes!

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