KARACHI: Pakistani Rupee (PKR) made recovery against the US dollar on Monday as the government imposed limit on taking cash dollar out of Pakistan.
The exchange rate recorded a gain of 23 paisas in rupee value to end at PKR 221.42 from last closing of PKR 221.65 on November 08, 2022 in interbank foreign exchange market.
READ MORE: PKR ends stable against US dollar in interbank
The foreign currency market was remained closed on November 09, 2022 due to public holiday that was announced by the government on occasion of Iqbal Day.
Currency experts said that the latest measures of the government to limit the cash dollar taking out of Pakistan supported the local currency to make gain.
On November 08, 2022, the SBP issued a circular to restrict the amount of foreign currency in cash up to equivalent to USD 5,000 from USD 10,000.
READ MORE: SBP limits cash up to USD 5,000 taking out of Pakistan
The central bank issued a circular stating that it had reviewed the existing foreign currency cash carrying limits for travel purposes, and decided to further rationalize the same.
As per the revised limits individuals with age 18 years and above (adults) can now take out of Pakistan foreign currency (FCY) equivalent to USD5,000 per visit, while those below the age of 18 years (minors) can carry out foreign currency equivalent to USD2,500 per visit. Further, the annual ceiling to take out FCY for adults and minors shall be USD30,000 and USD15,000, respectively.
READ MORE: US Dollar falls by 26 paisas to PKR 221.66 in interbank market
The experts said that the lower level of foreign exchange reserves of the country was remained a challenge for rupee stability in coming days.
Recently, Pakistan foreign exchange reserves increased by $1.527 billion to $14.69 billion by week ended October 28, 2022 after transfer of funds from Asian Development Bank (ADB).
READ MORE: Rupee inches up against dollar to end PKR 221.92
The country’s foreign exchange reserves increased to $14.689 billion by week ended October 28, 2022 as compared with $13.162 billion a week ago i.e. October 21, 2022.
The country’s foreign exchange reserves hit all-time high of $27.228 billion on August 27, 2021. Since then the foreign exchange reserves have declined by $12.539 billion.
The official foreign exchange reserves of the State Bank also increased by $1.473 billion to $8.913 billion by week ended October 28, 2022 when compared with $7.44 billion a week ago.
READ MORE: Dollar extends gain to reach PKR 221.95 in interbank
