Rupee registers another gain against US dollar, closes at Rs182.02

• Investor speculation ends in forex market as political scene turns stable.
• Rupee gains nearly Re1 against US dollar in inter-bank market
• Local currency has depreciated by Rs24.48 since July 1, 2021.
  

KARACHI: The rupee extended gains on Tuesday for the third consecutive session bolstered by hopes of political and economic stability following the formation of the new government.

According to the State Bank of Pakistan (SBP), the local currency closed at Rs182.02, up 0.5% (or Rs0.91) from Monday’s close of 182.93 in the inter-bank market.

Investor speculation ended in the foreign exchange market as the political scene turned stable after newly elected Prime Minister Shehbaz Sharif took charge.

Read more: SBP governor pledges 'timely policy actions' amid political crisis

Currency dealers believe that the ease in economic and political crises has boosted sentiment over the rupee, with the central bank’s measures to raise interest rates and curb imports also lending support to the local unit.

Last week, the central bank, in a surprise move, jacked-up the benchmark interest rate by 250 basis points to 12.25%.

The rupee has maintained a downward trend for the last 11 months. It has lost 19.53% (or Rs29.75) to date, compared to the record high of Rs152.27 recorded in May 2021.

With a fresh rise of 0.5%, the Pakistani rupee has depreciated by 15.53% (or Rs24.48) since the start of the current fiscal year on July 1, 2021, data released by the central bank revealed.

Read more: Moody's, Fitch concerned over Pakistan's external financing position

Meanwhile, open market forex rates of other currencies against the Pakistani rupee are as follows: