Karachi, September 11, 2023 – The Pakistani Rupee (PKR) demonstrated remarkable strength against the US dollar by closing at PKR 301.16 in the interbank foreign exchange market, marking the fourth consecutive session of appreciation.
This impressive recovery saw the rupee gaining PKR 1.79 against the dollar compared to last Friday’s closing rate of PKR 302.95 in the interbank foreign exchange market. The surge in value follows a recent low point of PKR 307.10 on September 5, 2023, where the rupee had reached an all-time low.
Experts in the currency market attribute this extraordinary rebound of the rupee to a comprehensive crackdown initiated by authorities against illegal currency activities, including hoarding, smuggling, and black market trading. These concerted efforts have not only contributed to stabilizing the exchange rate but have also made the official exchange rate more attractive and reliable for traders and investors.
The increased demand for PKR can be attributed to sellers eager to convert their US dollar holdings into the local currency, given the renewed confidence in the official exchange rate. The intensified crackdown on illegal currency activities has created an environment where transparency and adherence to the official exchange rate are prioritized, effectively discouraging black market trading.
This surge in the rupee’s value comes in the wake of Pakistan’s announcement of a comprehensive crackdown against illegal currency smuggling and hoarding. The initiative gained momentum following a meeting between Army Chief General Syed Asim Munir and influential business figures in Lahore and Karachi.
During the meeting, General Munir reaffirmed his commitment to fostering transparency in dollar exchange rates and interbank operations, which has reassured the business community.
The ongoing efforts to combat illegal currency activities and promote transparency in the foreign exchange market have played a pivotal role in restoring confidence in the local currency. The authorities’ vigilance and unwavering commitment to enforcing these measures have been instrumental in achieving the sharp recovery of the PKR’s value, not only in intraday trading but also in the broader financial landscape.
As a result, the continued strength of the PKR against the dollar is expected to further bolster Pakistan’s economic stability and international trade prospects, providing a positive outlook for the country’s financial future.