Pakistani rupee continues to rise against US dollar in interbank

The Pakistani rupee stood its ground as it recorded solid gain against the US dollar in the interbank market on Tuesday as all eyes are fixed on the IMF for reviving Pakistan’s loan programme, reported 24NewsHD TV channel.

According to the State Bank of Pakistan, the local currency surged by 72 paisas against the greenback and ended the day at Rs285.99.

Interbank closing #ExchangeRate for today https://t.co/LMMCkpDTXi#SBPExchangeRate pic.twitter.com/QHHi3Tj0nM

— SBP (@StateBank_Pak) June 27, 2023

On Monday, the Pakistani rupee registered a slight increase against the US dollar, ended the day at Rs286.71.

Interbank closing #ExchangeRate for today https://t.co/B6ok2w4Yzv#SBPExchangeRate pic.twitter.com/RGVDe7rqAV

— SBP (@StateBank_Pak) June 26, 2023

In a key development, the Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP) in its emergency meeting held on Monday decided to increase the benchmark policy rate by 100 basis points to a record high of 22% on deteriorated inflation outlook followed by imposition of new taxes in the budget.

Cumulatively, the MPC has raised the policy rate by 825bps during this fiscal year (FY23) to control rising inflation.

1/3 MPC of #SBP convened an emergency meeting today, where it noted that potential upside risks to the inflation outlook have increased from the last meeting, and accordingly decided to raise the policy rate by 100bps to 22%.https://t.co/unuS6xmJHz#SBPMonetaryPolicy pic.twitter.com/FWenKLqdkt

— SBP (@StateBank_Pak) June 26, 2023

Separately, Pakistan’s sovereign dollar-denominated bonds jumped on Monday after its parliament approved a revised budget in a last ditch bid to clinch a deal with the International Monetary Fund (IMF).

 

Reporter Ashraf Khan