KARACHI: Pakistan Rupee (PKR) has maintained recovery against the US dollar for third straight day on Wednesday following the positive outcome talks with the IMF.
The rupee recovered 17 paisas to end at Rs185.45 to the dollar from previous day’s closing of Rs185.62 in the interbank foreign exchange market.
READ MORE: Rupee recovers 43 paisas to dollar in interbank
It was straight third day the rupee made recovery against the greenback. The local unit recovered Rs1.30 against the foreign currency during these days.
Currency analysts attributed the appreciation in rupee value to recent talks of Pakistan’s new finance minister with the management of the IMF regarding initiation of stalled loan program.
READ MORE: Rupee gains 70 paisas to dollar on IMF talks
Further, both the sides also agreed to remove unnecessary subsidy to ease burden on the government to spare funds for development projects.
The exchange rate is remained volatile during past one month due to uncertain political situation and massive decline in foreign exchange reserves.
READ MORE: Dollar rebounds to PKR 186.75 in interbank
The recent measures of the State Bank of Pakistan (SBP), including raising the key policy rate by 2.5 per cent, have failed to support the local currency.
Previously, the rupee made significant recovery for seven consecutive trading sessions after the central bank announced a sharp increase in key policy rate.
READ MORE: Rupee ends 4-day losing streak against dollar
The SBP on April 07, 2022 announced 2.5 per cent increase in interest rate to enhance the key policy rate to 12.25 per cent from 9.75 per cent. The rupee was at all-time low PKR 188.18 to the dollar on the day of monetary policy announcement.
