Tag: Interbank Foreign Exchange Market

KARACHI: The Pak Rupee (PKR) recovered one paisas against the dollar on Wednesday as import payment demand eased in the interbank foreign exchange market.

The rupee ended Rs176.75 to the dollar from previous day’s closing of Rs176.74 in the interbank foreign exchange market.

Currency experts said that the local unit was supported by ease in demand for the foreign currency.

They said that due to recent measures taken by the government regarding import restrictions resulted in recovery in rupee value.

The local currency recorded an all-time low of Rs178.24 to the dollar on December 29, 2021.

They said that through Finance (Supplementary) Ordinance, 2021 exemptions on many imported goods have been withdrawn.

The experts said that falling foreign exchange reserves are still major threat to rupee stability.

The official foreign exchange reserves of the State Bank of Pakistan (SBP) slipped by $299 million to $17.85 billion by week ended December 24, 2021 when compared with $18.15 billion a week ago.

KARACHI: The Pak Rupee (PKR) made a sharp recovery of 73 paisas against the dollar on Thursday owing to sufficient supply of the foreign currency in the market.

The rupee ended Rs177.51 to the dollar from previous day’s closing of Rs178.24 in the interbank foreign exchange market.

READ MORE: Rupee falls to new historic low of Rs178.24 to dollar

The last day’s closing was the lowest level of the rupee.

Currency experts said that the market witnessed high dollar demand earlier in the day and the rupee fell to intraday low of Rs178.35.

However, they said that the State Bank of Pakistan (SBP) intervened to support the local currency. They claimed sufficient liquidity provided by the central bank to meet the foreign payments.

READ MORE: Bank holiday on January 03, 2022 announced

The experts said that the action was taken to support the local unit and keep the value below the lowest level by end the year. Today was second last trading of the year.

They said that due to year end the demand for dollar remained high as corporate buyers and importers were seen active during the day.

READ MORE: Pakistan’s forex reserves decline by $395 million in week

Since the start of the current fiscal year the rupee has witnessed sharp decline owing to large import bill and widening of current account deficit.

KARACHI: The Pak Rupee (PKR) fell to new historic low of Rs178.24 to the dollar on Wednesday owing to higher demand for import and corporate payments.

The rupee fell by five paisas against the dollar from last day’s closing of Rs178.19, the previous record low of the rupee, in the interbank foreign exchange market.

Currency experts said that due to last days of month of December and year closing the dollar demand was high for import and corporate payments.

The experts said that the rising prices of oil in international markets and corporate payment pushed the demand for dollars.

They said that surge in import bill and widening current account deficit are major challenges for the rupee in coming days.

The import bill of the country surged to $33 billion during the first five months (July – November) 2021/2022.

This resulted in widening of trade deficit resulted in $7 billion current account deficit during the first five months (July – November) 2021/2022.

READ MORE: SBP sets limits for sale of foreign exchange to individuals

KARACHI: The Pak Rupee hit a fresh low at Rs178.19 to the dollar on Tuesday after falling two paisas in the interbank foreign exchange market.

The local currency further declined from the last day’s closing of Rs178.17, which was the previous historic low.

The foreign exchange market witnessed dollar demand for import and corporate payment during the day. However, banks assured dollar supply against the demand, currency experts said.

They said that following restriction imposed by the central bank on buying of the foreign exchange by individuals from open market, the fall in rupee value was slowed down but continued.

The State Bank of Pakistan (SBP) last week imposed curbs on foreign exchange buying by individuals from the open market in order to discourage speculative gains. As per restrictions an individual can buy a maximum of $10,000 per day and $100,000 in a year.

The currency experts said that rising import bills and widening of the current account deficit remained a major threat to rupee value.

READ MORE: SBP sets limits for sale of foreign exchange to individuals

KARACHI: The US dollar recorded a new record high against Pak Rupee (PKR) at Rs178.17 on Monday. The rupee ended by four paisas against the dollar from last Friday’s closing of Rs178.13 in the interbank foreign exchange market.

The dollar previously recorded the highest level at Rs178.15 on December 22, 2021.

Currency experts said that the dollar demand was high due to opening of market after two weekly holidays. They said that year-end demand for corporate payment also put pressure on rupee value.

They said that the widening of trade deficit and current account deficit are major threats to rupee stability.

Pakistan’s current account deficit has ballooned to $7 billion during the first five months (July – November) 2021/2022. The current account posted a surplus of $1.87 billion in the same period of the last fiscal year.

The trade deficit widened by 112 per cent to $20.65 billion during the period under review as compared with $the deficit of 9.72 billion in the same period of the last fiscal year.

KARACHI: The deterioration in Pak Rupee (PKR) rupee continued on Wednesday as the dollar topped another record high at Rs178.15.

The rupee lost 10 paisas against the dollar to end at the fresh low of Rs178.15 as compared with last day’s closing of Rs178.05, the previous low of the rupee, in the interbank foreign exchange market.

READ MORE: Dollar advances to new historic high of Rs178.05

Currency experts believed that the high dollar demand for import and corporate payments was due to year-end.

They said that by every quarter end entities operating in Pakistan repatriate profit and dividend to their parent companies abroad.

READ MORE: SBP sets limits for sale of foreign exchange to individuals

The experts said that current account deficit and trade deficit had kept pressure for dollar demand.

Pakistan’s current account deficit has ballooned to $7 billion during the first five months (July – November) 2021/2022.

The trade deficit widened by 112 per cent to $20.65 billion during the period under review as compared with $the deficit of 9.72 billion in the same period of the last fiscal year.