Rupee gains for third consecutive day as USD falls sharply

Pakistani rupee continued its upward momentum for the third straight day, as the US dollar depreciated further in both interbank and open markets.

On the last trading day of the week, the dollar fell by 72 paisas in the interbank market, closing at Rs283.50. In the open market, the dollar dropped by another one rupee, falling from Rs287.60 to Rs286.60.

Over the past three days, the dollar has weakened by Rs1.50 in the interbank market and by Rs2.30 in the open market.

Chairman of the Exchange Companies Association of Pakistan (ECAP), Malik Bostan, attributed the decline to increased selling by exporters who are offloading dollars in anticipation of further depreciation. He advised importers not to rush purchases, predicting that the dollar could slide to Rs280 or even Rs270.

Bostan further stated that ongoing crackdowns against the illegal hawala and hundi networks, coupled with the State Bank of Pakistan halting dollar purchases from the interbank market, would likely drive the greenback’s value down even more in the coming days.