The Pak Rupee made notable progress against the US Dollar on Wednesday, appreciating by 46 paisas amid improved inflows of remittances sent by overseas Pakistanis. This positive movement reflects the currency’s resilience in the interbank foreign exchange market.
The rupee closed the day at Rs159.60 to the dollar, compared to the previous day’s closing rate of Rs160.06. The improved inflows of foreign exchange have bolstered confidence in the local currency, contributing to its consistent upward trajectory.
At the start of trading, the foreign exchange market observed rates ranging between Rs159.75 and Rs159.90. During the day, the rupee recorded a high of Rs159.80 and a low of Rs159.60 before settling at Rs159.60 at the close of trading.
In the open market, however, the exchange rate for the rupee remained stable. The buying and selling of the dollar stood at Rs159.00 and Rs160.00, respectively, mirroring the previous day’s closing rates in the cash-ready market.
The rupee’s continued gains are attributed to stronger inflows of remittances and tighter regulatory measures implemented by the State Bank of Pakistan. Remittances from overseas workers have consistently supported the rupee, helping it sustain value amidst global economic challenges.
Market analysts believe that the rupee’s performance also reflects improved confidence in Pakistan’s economic outlook. The currency’s stability has been further reinforced by recent interventions to curb speculative trading and promote financial discipline.
The appreciation of the rupee is expected to have a favorable impact on inflation, as a stronger local currency reduces the cost of imports. This, in turn, may provide relief to consumers and support the broader economy.
As the year ends, the Pak Rupee continues to demonstrate resilience, showcasing the effectiveness of measures aimed at enhancing foreign exchange reserves and stabilizing the currency. Observers remain optimistic that sustained remittance inflows and prudent monetary policies will keep the rupee on an upward trajectory in the coming months.
