Rupee strengthens vs US dollar, closes at PKR 285.79

WEB DESK: The Pakistani rupee (PKR) demonstrated resilience against the US dollar (USD), marking 18 paisa gain in Tuesday’s interbank session to settle at PKR 285.79.

Interbank closing #ExchangeRate for todayhttps://t.co/y3FUzObGUR#SBPExchangeRate pic.twitter.com/AaP8g817KQ

— SBP (@StateBank_Pak) November 21, 2023

This positive shift contrasts with the Monday’s closing rate of PKR 285.97 per USD.

During the trading session, the local unit reached an intraday high (bid) of Rs286.04 and a low (ask) of Rs286.

In the open market, the PKR strengthened by 50 paisa, as exchange companies quoted the dollar at Rs287 for buying and Rs288 for selling.

This compares favourably to the prior closing rates of Rs287.5 for buying and Rs288.5 for selling.

The upward trend is attributed to the successful staff-level agreement (SLA) between the International Monetary Fund (IMF) and Pakistani authorities during the first review under the Stand-By Arrangement (SBA).

Pending approval by the IMF’s Executive Board, this agreement is set to provide Pakistan access to SDR 528 million, equivalent to around $700 million, bringing the total disbursements under the programme to nearly $1.9 billion.

In terms of major currencies, the PKR experienced a loss of 91.75 paisa against the Euro, closing at 313.28 compared to the previous value of 312.36.

The British Pound strengthened by 1.15 rupees, closing at 358.17, up from 357.02 a day ago. The Swiss franc saw gains of 30.82 paisa, closing at 323.64 versus 323.33 from the previous session.

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Against the Japanese Yen, PKR lost 1.76 paisa, closing at 1.939 compared to 1.921 a day ago. The Chinese Yuan gained 25.01 paisa, closing at 40.0793 against 39.8292 from the previous session.

The Saudi Riyal closed at 76.2, reflecting a loss of 5.02 paisa from its value of 76.25 a day ago. The UAE dirham decreased in value by 4.8 paisa from 77.859 to 77.811.

In the current financial year, the PKR has experienced a slight depreciation of 0.2 rupees, or 0.07 per cent, against the dollar.

Meanwhile, in the calendar year, the PKR has depreciated by 59.36 rupees, or 20.77 per cent.

Turning to the money market, the benchmark 6-month Karachi Interbank bid and offer rates registered a marginal increase of 9 basis points, reaching 21.08 per cent and 21.33 per cent, respectively.