No major fall expected in rupee in coming months: analysts

KARACHI: Market analysts predict that the rupee is expected to remain stable in the upcoming months due to the potential for a new agreement with the International Monetary Fund (IMF) regarding another bailout program.

Assuming the confirmation of a new IMF programme in the coming months, Topline Research surveyed key market players to gauge their views on several macroeconomic and market factors.

Analysts anticipate that the rupee will likely maintain a stable range of 290 to 301 against the US dollar by December. This stability is expected to be supported by the potential for a new IMF bailout programm, potentially as early as June.

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According to the brokerage firm, 49 per cent of the respondents in the poll anticipate the domestic currency to stay within the range of 290 to 310 against the dollar by the end of the current year. This contrasts with the 38 per cent who held this belief three months ago when questioned about the rupee-dollar parity by June 2024.

Finance Minister Muhammad Aurangzeb has indicated that Islamabad anticipates finalizing a staff-level agreement with the Washington-based lender for a new bailout package by the end of the fiscal year. He emphasized that the specifics of the new agreement would be deliberated upon during the spring meetings.