Karachi, September 20, 2023 – At the interbank foreign exchange market on Wednesday, the Pakistani Rupee (PKR) continued its remarkable appreciation, with the US dollar sliding to PKR 293.90 during midday trading.
This marks a substantial gain of PKR 1 from the previous day’s closing rate of PKR 294.90.
READ MORE: Pakistani Rupee Achieves 10th Consecutive Gain Against Dollar, Soars to PKR 294.90
The surge in the local currency’s value has been nothing short of impressive, representing a substantial appreciation of approximately 4 percent, equivalent to PKR 12.20, since its recent low of PKR 307.10 on September 5, 2023.
Currency experts attribute this impressive turnaround to a combination of factors, with substantial credit accorded to the government’s unwavering efforts to combat currency smuggling and hoarding. This concerted crackdown has resulted in a substantial influx of US Dollars into the formal banking system, effectively bolstering the PKR.
READ MORE: PKR Gains 90 Paisas Against US Dollar: Ninth Consecutive Gain
Exporters have played a pivotal role in strengthening the PKR’s resurgence. Many exporters are increasingly converting their US dollar holdings into PKR through official banking channels, thereby driving up the demand for the Pakistani currency.
This recent rally in the PKR’s value comes as a welcome relief following a challenging period of struggle against the US Dollar. The swift and proactive measures taken by authorities to combat illicit currency activities have evidently paid off, resulting in a significant recovery for the PKR.
READ MORE: PKR Expected to Continue Upward Trajectory Against Dollar from September 18
The consistent strengthening of the Pakistani Rupee is seen as a positive sign for the country’s economy, as it enhances the purchasing power of consumers and reduces the cost of imported goods. It also reflects improved confidence in the stability of Pakistan’s currency.
As the PKR continues to appreciate, financial markets and businesses will closely monitor its performance, and authorities will be keen to sustain this positive trend through prudent economic policies and continued efforts to combat illegal currency activities.
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