Karachi, July 13, 2023 – The Pakistani Rupee (PKR) experienced a notable surge against the US Dollar on Thursday, reaching a value of PKR 276.46 in the interbank foreign exchange market.
This represents a gain of PKR 1.02 compared to the previous day’s closing rate of PKR 277.48.
Financial experts attribute this increase in the value of the rupee to several factors, including the approval of an International Monetary Fund (IMF) bailout package and the subsequent disbursement of the first tranche amounting to $1.2 billion. Additionally, inflows from the United Arab Emirates (UAE) and Saudi Arabia have played a significant role in bolstering Pakistan’s foreign exchange reserves.
The positive outlook for the rupee’s performance is further reinforced by the country’s growing foreign exchange reserves, as highlighted by recent data released by the State Bank of Pakistan (SBP). Within just one week, foreign exchange reserves surged by $405 million, reaching a total of $9.746 billion as of the week ending on June 30, 2023. This marks a considerable increase from the $9.341 billion recorded by the week ending on June 23, 2023.
Experts remain optimistic about the future, anticipating further foreign inflows in the coming week, contingent upon the approval of a bailout package by the executive board of the IMF. These developments contribute to an overall positive sentiment in Pakistan’s economic landscape, as increased foreign exchange reserves and a strengthened rupee bode well for the country’s financial stability and economic growth.
It is important to note that currency markets are subject to fluctuations and various economic factors. While the recent gains in the value of the Pakistani Rupee reflect positive trends, future developments may impact the exchange rate. Investors and stakeholders are advised to monitor market conditions and seek professional advice when making financial decisions.