Rupee suffers marginal drop in interbank

Web Desk (LTN NEWS): On Thursday, the interbank market showed that the rupee had lost seven paise against the dollar. The State Bank of Pakistan (SBP) says that the rupee ended the day at 214.95, which is a 0.03 percent drop.

The rupee’s value against the US dollar started going down on Wednesday after it had gone up 11.62 percent over the previous 11 days.

Saad bin Naseer, the director of a website for financial data and analytics called Mettis Global, said that exporters were pushing to keep the value of the dollar at Rs215, which is why the rupee had fallen.

He also said that there was no longer a difference in rates between the interbank market and the open market.

Naseer said that it seemed like there was an agreement with the International Monetary Fund (IMF) to keep the value of the rupee where it is now. But he also said that the rupee’s value could go up sharply if imports kept going down and exports kept going up.

Zafar Paracha, the general secretary of the Exchange Companies Association of Pakistan, said that the rupee was being pushed down because the IMF was taking too long to release the loan tranche.

Read More: Dollar increases in the open market

“It is likely that the value of the dollar will go down after August 29 when the tranche is received. If the interest rate goes up at the Monetary Policy Committee meeting of the State Bank of Pakistan on August 24, it could put pressure on the value of the rupee and make it go down.

“Otherwise, the value of the dollar is likely to go down in the next few days,” he said.