In a noteworthy development, the Pakistani rupee has made considerable strides against the US dollar, shrinking the difference to Rs13.
The rupee demonstrated a positive trajectory in the open market for the second day in a row, recouping 1% of its value, equivalent to Rs3, and closing at Rs300 per US dollar, as announced by the Exchange Companies Association of Pakistan (ECAP).
Contrastingly, the interbank market told a different story, with the rupee enduring its fourth consecutive day of devaluation, declining by 0.11% or Rs0.32, to hit a two-week low of Rs286.88 per US dollar, based on data from the central bank.
Until last week, the rupee-dollar exchange rate disparity had escalated to an all-time high of Rs27, primarily due to the substantial depreciation of the rupee in the open market.
For several weeks, the interbank market remained fairly stable, around Rs285-286 per US dollar, barring a few sessions. This discrepancy has sparked concerns, leading the IMF to question the government’s ability to manage the currency market. In response, the central bank transferred a significant portion of the open market business to the interbank market
