On Friday, the Pakistani rupee (PKR) recorded a gain of 51 paisas in rupee value, ending at PKR 284.40 to the dollar in the interbank foreign exchange market.
This increase in value can be attributed to positive sentiments prevailing over the IMF program and recent commitments by Saudi Arabia and the UAE to fund Pakistan.
READ MORE: US dollar weakens to PKR 284.91 as Pakistan awaits IMF review finalization
The exchange rate recorded a gain of 51 paisas in rupee value to end at PKR 284.40 to the dollar from previous day’s closing of PKR 284.91 in the interbank foreign exchange market.
IMF Managing Director Kristalina Georgieva recently announced that Pakistan won’t default, and with the implementation of what has been agreed by the Pakistani authorities, the current program can be completed successfully. These statements have helped to alleviate concerns about the country’s financial stability and contributed to the appreciation of the PKR.
READ MORE: Pakistani rupee makes recovery to PKR 286.62 against dollar after historic fall
A couple of days ago the negative sentiments brought down the local currency to make record low. The rupee plunged to PKR 288.43 to the dollar at closing on April 11, 2023.
However, the recent depreciation of the PKR was due to a lack of inflows and delays in funds from the IMF, as well as political uncertainty surrounding provincial elections. Moreover, cancellations of the finance minister’s visit to the US and a decrease in the country’s foreign exchange reserves have added to the challenges faced by Pakistan.
READ MORE: PKR falls to historic low at Rs288.43 to dollar amidst volatile conditions
Despite seeking loans and financial assistance from international organizations such as the IMF, the country continues to face challenges in managing its foreign exchange reserves and stabilizing the value of its currency. The decline in remittances and depleting foreign exchange reserves are matters of concern for experts, who believe swift measures are needed to stabilize the currency and attract more foreign investment.
READ MORE: Rupee suffers significant drop to PKR 287.09 against dollar
Overall, the recent appreciation of the PKR is a positive sign for the country’s economic stability, and experts hope that this trend will continue in the coming days.
