The US dollar saw a slight depreciation in the interbank market on Tuesday. The American currency had closed trading on the last business day at Rs279.41, and began trading on Tuesday morning at Rs279.30, marking an 11-paisa (0.04%) decrease in value.
Interbank closing #ExchangeRate for today https://t.co/L8ztKkaVwg#SBPExchangeRate pic.twitter.com/mzoCgnx1TO
— SBP (@StateBank_Pak) February 2, 2024
This follows a trend of recent volatility in the dollar's exchange rate in Pakistan. Last week, the US Dollar closed at Rs279.41 indicating a gradual decrease since then. Analysts attribute this movement to various factors, including:
- Fluctuations in global oil prices: Pakistan heavily relies on imported oil, and changes in its price can impact the dollar's value.
- Monetary policy decisions: The State Bank of Pakistan (SBP) implements policies that can influence the exchange rate.
- Import and export activity: Trade imbalances can affect the demand for dollars, impacting their value.
While the decrease is minor, it's noteworthy due to the current economic climate in Pakistan. The country faces various challenges, including inflation and a widening current account deficit. Stability in the foreign exchange market is crucial for economic growth and investment.
