KARACHI: The Pakistani rupee gained ground against the US dollar on market hopes on Finance Minister Ishaq Dar’s assurance of an agreement with the International Monetary Fund (IMF) next week.
According to the Exchange Companies Association of Pakistan (ECAP), the local currency appreciated by Rs 9.91 in the interbank market and was changing hands at 275.18 against the greenback.
On Thursday, the rupee depreciated to around Rs 19 against the US dollar on concerns over the central bank’s monetary policy review and the IMF standoff.
According to the State Bank of Pakistan (SBP), the rupee fell by Rs 18.98, or 6.66 percent, to 285.09 against the dollar in the interbank market, down from Wednesday’s close of Rs 266.11.
Speaking to JEE News, ECAP General Secretary Zafar Paracha explained some of the reasons behind the devaluation of the dollar, saying that the IMF had urged Pakistan to keep the dollar at the same rate near the Afghan border. Trade.
“In other words, the IMF said that our real rate should be the gray market rate, rather than the interbank rate or the open market.”
A day earlier, Dar had assured that Pakistan would sign a staff-level agreement with the Washington-based lender next week as negotiations neared completion.
The finance minister – who took charge after Miftah Ismail was ousted in September last year – also said the economy was moving in the right direction and blamed miscreants for spreading rumors about Pakistan’s possible default. .
“Anti-Pakistani elements are spreading malicious rumors that Pakistan might default,” said Finn Mandar.
The finance minister added that negotiations with the IMF are about to be completed and we expect to sign the SLA with the fund by next week. “All the economic indicators are slowly moving in the right direction,” he added.
