Rupee strengthens against US dollar, closes at 200.77

By
Business Desk
|
A man counts Pakistani rupee notes with stacks of dollar bills and rupee notes lying on the table. — Reuters/File
A man counts Pakistani rupee notes with stacks of dollar bills and rupee notes lying on the table. — Reuters/File 

  • Rupee makes a slight recovery against US dollar. 
  • Rupee gains Rs0.75 or 0.37%, against greenback. 
  • Local currency closes at Rs201.52 a day earlier. 


KARACHI: The Pakistani rupee made a slight recovery on Thursday and closed at 200.77 against the US dollar in the interbank market.

According to data released by the State Bank of Pakistan (SBP), the local currency gained Rs0.75 or 0.37%, against the greenback.

A day earlier, the local currency gained Rs1.31, or 0.64% to close at Rs201.52.

On June 7, the local currency dropped to an all-time low of Rs202.83 surpassing its previous record low of Rs202 registered on May 26.

Traders believe caution is expected this week ahead of the unveiling of the federal budget for the fiscal year 2022-23, scheduled to be announced on June 10 (Friday), with investors expecting the International Monetary Fund (IMF) conditions of fiscal consolidation to dominate.

Renewed pressure on the rupee on an increase in fiscal-year-end dollar demand from importers and the corporate sector will keep the local currency under pressure.

Earlier, Exchange Companies Association of Pakistan (ECAP) General Secretary, Zafar Paracha said: “There is no sense of this volatility in the currency market. This is causing discomfort in the market, shaking the confidence of importer, exporter and foreign investors."