(CTN News) – The Pakistani rupee remained unchanged against the US dollar in the open market on Thursday, while it showed a slight increase in the inter-bank market.
Currency dealers confirmed that the rupee was being quoted at 284.50 for selling and 281.50 for buying purposes for customers, which was the same as the previous day’s closing rates.
According to data provided by the Dollar Exchange Companies Association of Pakistan (ECAP), the currency closed at the same rates at the end of the trading session.
In the inter-bank market, the rupee continued its upward trend against the US dollar for the third consecutive session, appreciating by 0.04% on Thursday. The State Bank of Pakistan (SBP) reported that the local currency settled at 283.51 after a gain of Re0.10 against the greenback.
Despite a decrease in foreign exchange reserves, experts believe that the market remains optimistic due to the anticipated release of funds by the International Monetary Fund (IMF) next month.
In November, Pakistan and the International Monetary Fund (IMF) reached an agreement at the staff level regarding the first review of the country’s nine-month Stand-By Arrangement (SBA). This SBA was approved by the IMF Executive Board in July 2023.
According to a report, the Dollar IMF’s executive board will convene on January 11 to discuss the loan program with Pakistan.
Fitch Ratings, in a report on Wednesday, expressed confidence that the recent staff-level agreement would receive smooth approval from the board.
The report highlighted that the successful review of the program demonstrates ongoing efforts towards fiscal consolidation, implementation of energy price reforms despite public opposition, and progress towards a more market-driven exchange rate system.
Furthermore, the credit rating agency acknowledged that measures taken to curb the black market have contributed to narrowing the gap Dollar between parallel (curb) and interbank exchange rates, as well as increasing the inflow of foreign exchange into the banking system.