PKR gains over 70 paisa against USD amid crackdown on currency smuggling 

KARACHI: The Pakistani rupee (PKR) made gains against the US dollar (USD) during early trading on Thursday, rising by 73 paisa to reach Rs284.03 in the interbank market, a 0.26 per cent increase from the previous session’s close.

The improvement comes as law enforcement agencies reportedly intensified efforts to curb illegal foreign currency outflows, particularly to Afghanistan and Iran. According to Exchange Companies Association of Pakistan (ECAP) Chairman Malik Bostan, these raids helped stabilise the rupee on Wednesday, when it closed at Rs284.76.

In the broader currency market, the rupee showed mixed performance against other major currencies on Wednesday. It gained 21.32 paisa against the US dollar, ending the session at Rs284.76 compared to Rs284.97 a day earlier, as per data from the State Bank of Pakistan.

The local currency also appreciated slightly against the UAE dirham and the Saudi riyal, closing at Rs77.53 and Rs75.91, respectively. However, it weakened against the euro, falling by Rs1.22 to Rs334.41, and lost Rs1.75 against the British pound, which settled at Rs385.70.

Against the Swiss franc and Japanese yen, the rupee declined by Rs2.30 and 1.06 paisa, closing at Rs359.77 and Rs1.9406, respectively. PKR also dipped slightly against the Chinese yuan, falling by 4.68 paisa to close at Rs39.76.

Karachi couple distributing fake currency arrested in Changla Gali

Globally, currency markets remained active. The euro edged closer to a four-year high, and the Japanese yen held onto recent gains, lifted by optimism around trade talks between the US and its major partners.

A fresh deal between the US and Japan, which includes a large investment package and tariff relief, also buoyed investor sentiment, leading to a mild decline in the dollar index, which slipped to 97.15.

Meanwhile, traders paid little attention to reports that US President Donald Trump was expected to visit the Federal Reserve, despite his ongoing criticism of its chief, Jerome Powell, over interest rate policies.

So far in the current fiscal year, the rupee has slipped by 99 paisa or 0.35 per cent against the dollar. On a calendar year basis, rupee has lost Rs6.21 or 2.18 per cent.

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