The Pakistani rupee strengthened against the US dollar for the third consecutive day on Thursday, driven by improved foreign currency inflows in the form of export proceeds and workers’ remittances.
According to data released by the interbank market, the rupee appreciated slightly and closed at Rs155.10 against the dollar, compared to the previous day’s closing of Rs155.14. This marks a modest but steady recovery trend since Tuesday, following a brief dip earlier in the week on Monday.
Currency market experts attributed the rupee’s gains to a consistent rise in remittances from overseas Pakistanis, as well as timely export receipts which have added to the country’s foreign exchange reserves. “The continued inflow of foreign currency has provided much-needed stability to the rupee,” a senior currency dealer noted, adding that the recent uptrend in the rupee also reflects renewed investor confidence in the local economy.
Another contributing factor has been the positive macroeconomic signals coming from the government, including improved fiscal discipline and stable external account indicators, which have supported the rupee’s position against the dollar.
In the open market, the exchange rate also showed gains. The buying and selling of the dollar was recorded at Rs154.80 and Rs155.10 respectively, compared to the previous day’s range of Rs155.00 and Rs155.20. Dealers reported a slight decline in demand for the dollar in the open market, further easing pressure on the rupee.