Rupee weakens by 51 paisas on import, corporate demand

Rupee weakens by 51 paisas on import, corporate demand

KARACHI: The Pak Rupee ended down by 51 paisas against the dollar on Monday owing to higher demand for import and corporate demand.

The rupee closed at Rs166.72 to the dollar from last Friday’s close of Rs166.21 in interbank foreign exchange market.

Currency experts said that the market was opened after two days weekly holidays which escalated the demand for dollar.

They said that the due to ease in lockdown the activities in foreign trade had been increased. The importers were placing orders in the international markets.

The experts hoped that the recent inflows from international financial institutions the rupee may recover.

The foreign exchange reserves of the country increased by $1.24 billion to $17.97 billion by week ended June 26, 2020, State Bank of Pakistan (SBP) said on Thursday.

The foreign exchange reserves of the country were at $16.73 billion by week ended June 19, 2020.

The official foreign exchange reserves of the SBP increased by $1.27 billion to $11.231 billion by week ended June 26, 2020. The official reserves of the central bank were at $9.961 billion a week ago.

The SBP said that during the week ended June 26, 2020, the central bank received around $2,046 million official inflows, including $737 million from World Bank, $503 million from Asian Development Bank, $500 million from Asian Infrastructure Investment Bank and $300 million as GOP loan disbursement from China.

After incorporating government external debt payments of $ 809 million, SBP reserves increased by $ 1,270 million to $ 11,231 million.

During the current week, SBP has received additional $1,000 million as GOP loan disbursement from China.

These funds will be part of SBP weekly reserves data as of July 03, 2020 to be released on July 09, 2020.

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