US dollar drops to Rs 286.60

KARACHI: The Pakistani rupee demonstrated remarkable resilience in its ongoing battle against the US dollar, showcasing a consistent strengthening trend. I

n the early hours of trading on Monday, it managed to gain 0.40 percent in value compared to the US dollar in the inter-bank market.

As the clock struck midday, the rupee’s valuation proudly stood at 286.60, reflecting a notable increase of Rs1.14 when measured against the US dollar in the inter-bank market.

This positive momentum had been steadily building over the course of the previous week, with the rupee experiencing a substantial 1.4 percent improvement. Ultimately, it settled at an impressive rate of 287.74 against the US dollar in the inter-bank market. This achievement marked the 17th consecutive session of gains for the Pakistani rupee, clearly underscoring its strengthening position in relation to the US dollar.

The driving force behind this phenomenal increase can be largely attributed to a rigorous crackdown on illegal activities, particularly smuggling, along with stringent controls implemented within the Exchange Companies (ECs) sector. Consequently, the Pakistani rupee emerged as the best-performing currency in the world throughout September, concluding the month with an astonishing gain of 6.2 percent when measured against the US dollar.

This remarkable performance stands in stark contrast to the overall depreciation experienced during the initial eight months of 2023, where the rupee faced a substantial decline of nearly 26 percent in value against the US dollar.

UAE Dirham to Pakistani rupees was recorded at 78.96, Saudi Riyal rate in Pakistan today was 77.32, Canadian Dollar to PKR was 213.71.

In an interesting turn of events, oil prices, a pivotal factor influencing currency parity, experienced an upward surge on Monday. This reversal of fortunes followed Friday’s losses, with investors shifting their focus towards the global supply situation and a last-minute agreement that prevented a US government shutdown. These developments revitalized risk appetite in the market, subsequently impacting currency dynamics, including the relationship between the US dollar and the Pakistani rupee.

Crackdown on illegal activities catapult Rupee to a two-month high