Tag: Pakistani Currency

  • Pakistani rupee gains only Rs1.16 against US dollar throughout March

    Pakistani rupee gains only Rs1.16 against US dollar throughout March

    In March, the Pakistani rupee (PKR) demonstrated resilience, maintaining stability against the US dollar (USD) while marking slight gains.

    Throughout the month, the PKR experienced marginal fluctuations, witnessing minor increments and decrements in value.

    Despite this, the overall trajectory showcased a modest uptick, with the local currency gaining 1.16 rupees against the USD, concluding the month at Rs277.95 per USD.

    In Friday’s trading session alone, the PKR exhibited a noteworthy appreciation, strengthening by 8.61 paisa against the greenback.

    During today’s trading activities, the currency displayed a range, reaching an intraday high bid of 278.45 and a low ask of 280.41.

    Notably, throughout the current financial year, the PKR has displayed resilience, appreciating by 8.04 rupees against the Dollar, reflecting a 2.89 per cent increase. Similarly, within the scope of the current calendar year, the PKR has witnessed a gain of 3.91 rupees, equating to a 1.41 per cent appreciation.

    In parallel, the State Bank of Pakistan (SBP) undertook strategic financial operations, including a reverse repo and Shariah Compliant Modarabah-based Open Market Operation (OMO) today.

    Through these interventions, the SBP injected a cumulative total of Rs2.71 trillion into the market, underscoring efforts to maintain liquidity and stability within the financial landscape.

  • Pakistani rupee closes week strong at Rs282.53 against US dollar

    Pakistani rupee closes week strong at Rs282.53 against US dollar

    In a trend marking its ninth consecutive session, the Pakistani rupee (PKR) demonstrated resilience against the US dollar (USD) by registering a 0.09 per cent appreciation in the inter-bank market on Friday.

    Closing the week at Rs282.53, the currency saw an increase of Rs0.26, according to the State Bank of Pakistan (SBP).

    This positive momentum follows a marginal gain on Thursday, settling at Rs282.79 against the US dollar.

    Simultaneously, the foreign exchange reserves held by the State Bank of Pakistan experienced a decline, falling below the $7 billion mark.

    A notable decrease of $136 million, attributed to debt repayments during the week ending December 15, 2023, brought the reserves to $6.904 billion.

    On the international front, the US dollar found itself near a more than four-month low on Friday, anticipating a key US inflation gauge reading scheduled for later in the day.

    This data is expected to provide clarity on the Federal Reserve’s room to manoeuvre in terms of interest rate cuts in the coming year.

    Early Asia trade witnessed the greenback hitting a five-month trough against the New Zealand dollar and a three-week low against the euro.

    This decline resumed after a sudden risk-aversion episode in New York hours on Wednesday triggered a sell-off in US stocks, leading to a rise in the dollar.

    Against a basket of currencies, the greenback hovered around 101.76, remaining close to the previous session’s more than four-month low of 101.72.

     The dollar index seemed poised for a weekly loss of about 0.8 per cent, extending the previous week’s 1.3 per cent decline.

    The Federal Reserve’s decision to leave the door open to potential rate cuts in the next year, as indicated in its last policy meeting for 2023, contributed to the ongoing downward pressure on the US dollar.

    This market movement has implications for various currency pairs, including the Pakistani rupee to US dollar exchange rate, which continues to be of interest to investors tracking global economic trends.

  • FIA cracks down on luxury car showrooms in Karachi over money laundering suspicions

    FIA cracks down on luxury car showrooms in Karachi over money laundering suspicions

    On Thursday, the Commercial Banking Circle team of the Federal Investigation Agency (FIA) executed a seizure of four high-end vehicles at a Karachi-based car showroom.

    The owner of the establishment was unable to furnish credible documentation regarding the vehicles’ importation, raising suspicions of their involvement in a trade-based money laundering operation.

    The FIA has embarked on a comprehensive inquiry into the proprietors of car showrooms in Karachi, honing in on trade-based money laundering—an illicit stratagem that exploits international trade transactions as a conduit for unlawful financial transfers.

    In a recent enforcement operation, the FIA confiscated a quartet of opulent automobiles, including a Land Cruiser and an Audi, from a showroom situated on Khalid bin Waleed Road. Despite repeated requests, the showroom owner failed to comply with the FIA’s summons.

    The agency has further dispatched notifications to the proprietors of thirteen other car showrooms in Karachi, intensifying its scrutiny of this matter.

    Earlier in the week, the FIA conducted a search at the residence of a businessman by the name of Aziz Seekha in Karachi. This operation yielded a substantial haul of both foreign and Pakistani currency, alongside prize bonds, underscoring the agency’s ongoing efforts to combat financial irregularities.

  • Pakistani rupee maintains upward trend for fourth consecutive day, closes at Rs285.15 against dollar

    Pakistani rupee maintains upward trend for fourth consecutive day, closes at Rs285.15 against dollar

    According to the State Bank of Pakistan (SBP), the Pakistani currency has maintained its upward trend against the US dollar for the fourth consecutive working day in the interbank market.

    The local unit (PKR) has recovered Rs0.59 against the USD, closing at Rs285.15, while the US dollar closed at Rs285.74 on the previous day.

    In contrast, the open market has seen the dollar being sold at over Rs300. Last week, the rupee reached a record low of Rs298.93 against the US dollar.

     Experts attribute the fluctuation in the dollar rate to the deadlock over the IMF deal and ongoing political unrest in the country.

    Due to the delay in the revival of the $6.5 billion International Monetary Fund (IMF) bailout programme, Pakistan is now seeking additional funding from friendly nations.

    The staff-level agreement between the International Monetary Fund and Pakistan, initially scheduled for February 9, has been postponed.

  • Pakistani rupee sinks to record low of Rs308 against US dollar in open market

    Pakistani rupee sinks to record low of Rs308 against US dollar in open market

    On Tuesday, the Pakistani currency experienced a significant decline, reaching a new record low of Rs308 against the US dollar in the open market. This marked a 1 per cent decrease, or Rs3, from the previous day’s closing rate, as reported by the Exchange Companies Association of Pakistan.

    Consequently, the disparity between the exchange rates in the open market and the inter-bank market widened considerably, reaching a historic high of Rs21 to a dollar. Just a couple of months ago, this difference was in the range of Rs1-3.

    In inter-bank transactions, the central bank stated that the rupee continued its downward trend for the fifth consecutive working day, dropping by 0.21 per cent, or Rs0.59, to a 12-day low at Rs287.15 against the US dollar.

    There has been speculation in the market that the rupee is facing mounting pressure due to the expanding gap between the demand and supply of the US dollar in the currency market.

    In the meantime, Pakistan’s foreign exchange reserves have been consistently depleting and have now reached a critically low level of $4.3 billion. This is concerning because the country requires a comparatively large amount of foreign currency to cover import expenses and repay foreign debt.

    By the end of June 2023, Pakistan has to repay $3.7 billion in foreign debt. Additionally, it needs another $3.7 billion each month to ensure smooth importation of essential goods.

    Currency dealers in the open market have revealed that commercial banks are purchasing dollars in the informal market (kerb market) to settle international payments made through their clients’ credit cards. Furthermore, individuals are acquiring Saudi riyals and US dollars to cover expenses during the Hajj and Umrah pilgrimages.

    Experts strongly emphasize that the government must persuade the International Monetary Fund (IMF) to resume its $6.7 billion loan programme. Additionally, they urge friendly countries to provide fresh financing, which will help mitigate the risk of defaulting on external debt obligations.

    The resumption of the IMF programme will not only assist Pakistan in averting an imminent default but will also enable the country to attract financing from other global lenders and friendly nations. This new financing will bolster the foreign exchange reserves and aid in the reopening of the partially closed economy.

  • Pakistani rupee gains Rs2.13 to close at Rs221.91

    Pakistani rupee gains Rs2.13 to close at Rs221.91

    In line with improved market sentiment, the Pakistani rupee (PKR) kept strengthening versus the US dollar, closing at Rs221.91 on Wednesday in the inter-bank market.

    According to the State Bank of Pakistan (SBP), the local currency appreciated by 0.96 per cent or Rs2.13 against the dollar to settle at Rs221.91.

    The uptick on Wednesday marked the seventh straight rebound for the currency, which last month touched an all-time low of Rs239.94 against the US dollar. Since then, it has increased by almost 8 per cent.

    Pakistani rupee significantly increased last week, rising 6.8 per cent to settle at Rs224.04 in the interbank market.

    The rupee maintained its strength throughout the week as Pakistan reported a smaller trade deficit and a significantly lower import bill in July, relieving pressure on the currency that had previously been battered by the dollar.

    The International Monetary Fund (IMF) also stated that the board meeting is tentatively scheduled for late August once adequate financing assurances are confirmed.

    An official source in Abu Dhabi later emphasised in a public statement the UAE’s plan to invest $1 billion in Pakistani businesses across a range of economic and investment sectors, bringing Pakistan one step closer to closing what the IMF refers to as a financial gap.

    Market analysts anticipate significant growth in the upcoming days, assuming Pakistan manages to arrange its finance requirements.

  • Rupee gets stronger by Rs2.11 to close at Rs224.04 against US dollar

    Rupee gets stronger by Rs2.11 to close at Rs224.04 against US dollar

    During intraday trade on Friday in the interbank market, the Pakistani rupee (PKR) climbed by Rs2.11 against the US dollar for the sixth session in a row.

    In the course of the day’s trading, the local currency gained Rs2.11 or 0.94 per cent versus the dollar and closed at Rs224.04, down from Thursday’s closing of Rs226.15.

    Dollar to PKR rate – Friday 8 August 2022

    At yesterday’s closing, the rupee marginally increased by Rs2.65 or 1.17 per cent.

    Following the government’s austerity measures, which caused a sharp rise in inflation but also prevented the nation’s economy from collapsing, the rupee has been on the upswing.

    On Wednesday, PKR increased by Rs9.58 against the US dollar, the local currency saw a significant gain. The biggest one-day rise since 1999, it grew by 4 per cent.

    In his speech at an event at the Pakistan Stock Exchange (PSX), Finance Minister Miftah Ismail said that if the nation can manage imports, exports may be increased through a number of strategies.

    After the coalition partners made unpopular decisions, Miftah stated Pakistan was “on the right track” and that the pressure on the rupee will continue to lessen in the days ahead as it strengthened against the dollar.

  • Rupee gains ground against dollar for second day, closes at Rs238

    Rupee gains ground against dollar for second day, closes at Rs238

    Following days of increases in the interbank and open markets, the US dollar fell against the Pakistani rupee on Tuesday as a result of assurances from the government and State Bank of Pakistan (SBP) that the nation will have enough money for FY2022-23 after receiving IMF tranches.

    For the third straight session, the Pakistani rupee appreciated versus the US dollar in the interbank market on Tuesday. This occurred as a result of the market’s stability following the government’s assurance that it would successfully tackle the challenging economic situation.

    After the rupee dropped for 10 straight sessions in the final days of July and depreciated by about 5 per cent just last week, the dollar began to lose strength on Friday.

    Tuesday’s interbank trading ended with the rupee up a pitiful Rs0.46 or 0.19 per cent, reaching Rs238.38, from 238.84 in the previous trading session. In the meantime, the open market exchange rate remained constant at Rs241.

    Forex dealers report that the US dollar lost Rs0.94 in interbank trading and is now trading at Rs237.90. The banks are offering to sell dollars for Rs238.50.

    The US dollar dropped to Rs239 in the open market after crossing the Rs250 threshold.

  • Pakistani rupee falls to a new all-time low of Rs205 against the US dollar

    Pakistani rupee falls to a new all-time low of Rs205 against the US dollar

    In the interbank market today, the Pakistani Rupee (PKR) plummeted below its previous record low versus the US Dollar (USD).

    The local currency lost Rs1.30 in the interbank market today, depreciating by 0.63 per cent against the US dollar and closing at Rs205.16. During today’s open market session, the local currency reached an intraday high of Rs203.75 versus the US dollar.

    The PKR was trading between Rs206 to Rs208 against the US dollar in the evening. The rupee’s devaluation was in line with market expectations, with traders expecting the local currency to fall even lower if Pakistan fails to persuade the International Monetary Fund (IMF) on its fiscal year 2022-23 budget.

    The Financial Action Task Force (FATF) meeting in Berlin, which starts today, is another reason that is likely to have influenced the FX market. On the 15th and 16th of June, issues concerning Pakistan will be discussed.

    In today’s interbank market, the PKR reversed gains versus the majority of major currencies. It fell 22 paisas against the Canadian dollar (CAD), 34 paisas against the Saudi riyal (SAR), 35 paisas against the UAE dirham (AED), 62 paisas against the British pound sterling (GBP), and Rs1.25 versus the Euro (EUR).

  • PKR declines against US Dollar after winning for a week

    PKR declines against US Dollar after winning for a week

    The winning days for Pakistani currency are over. On April 18, the Pakistani Rupee (PKR) overturned gains against the US Dollar (USD) and registered losses in the interbank market.

    At the completion of the session, the local currency had lost 99 paisas against the US dollar. It declined by 0.54 per cent versus the US dollar, closing at Rs182.54.

    The rupee declined by 0.54 per cent versus the US dollar, closing at Rs182.54 after winning three paisas and settling at Rs181.55 on Saturday, April 16. During the open market session, the Indian rupee (INR) touched an intraday high of Rs181.00 versus the US dollar.

    After the International Monetary Fund (IMF) decided to resume talks with Pakistan under the $6 billion Extended Fund Facility (EFF) programme, the rupee’s seven-day winning streak versus the dollar ended today.

    Considering global variables influencing the local currency, crude prices declined as concerns about slowing demand in China outweighed support despite a constrained global supply situation and the escalating Russia-Ukraine conflict.

    Read more: Global oil prices climb to highest in three weeks

    It is worth noting that the local currency has depreciated by 15.85 per cent (Rs24.98) since the beginning of the current fiscal year on July 1, 2021.