Karachi, September 8, 2023 – In a remarkable display of resilience, the Pakistani Rupee (PKR) continued its winning streak against the US dollar for the third consecutive day on Friday, bolstered by a series of proactive measures implemented by authorities.
The local currency recorded a substantial gain of PKR 4.5 or 1.35 percent against the dollar, closing at PKR 302.95 in the interbank foreign exchange market. This impressive surge followed its recent all-time high of PKR 307.10 on September 5, 2023.
READ MORE: Pakistani Rupee Makes Sharp Recovery to End at PKR 304.94 to the Dollar
On Friday, the exchange market saw a substantial recovery of PKR 1.01 to the dollar from the previous day’s closing rate of PKR 304.95. During intraday trading, the rupee even appreciated to PKR 302 against the dollar. However, as higher demand for import payments emerged on the last trading day of the week, the rupee experienced a slight devaluation.
Currency experts attribute this exceptional recovery of the rupee to the extensive crackdown initiated by authorities against illegal currency activities, including hoarding, smuggling, and black market trading. These concerted efforts have not only contributed to the stabilization of the exchange rate but have also made the official exchange rate more attractive and reliable for traders and investors alike.
READ MORE: PKR Recovers Against US Dollar in Volatile Interbank Trading
The surge in demand for PKR stems from sellers who are 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, subsequently discouraging black market trading.
This significant development follows Pakistan’s recent announcement of a comprehensive crackdown against illegal currency smuggling and hoarding. The initiative gained momentum after a meeting between Army Chief General Syed Asim Munir and influential business figures in Lahore and Karachi.
READ MORE: Rupee Hits Fresh Low at PKR 307.10 to Dollar in Fathomless Journey
During this 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 PKR’s continued strength against the dollar is expected to further bolster Pakistan’s economic stability and international trade prospects.
READ MORE: Rupee Freefall Continues: Hits New Record Low at PKR 304.45 Against the Dollar
