Rupee makes sharp comeback against US dollar in interbank market

Karachi: The Pakistani rupee on Thursday made a sharp comeback against the US dollar in the interbank market.

The State Bank of Pakistan said that the rupee closed at Rs267.34 appreciating by 2.10 against the dollar. A day earlier, the greenback had closed at Rs269.44.

Interbank closing #ExchangeRate for todayhttps://t.co/TEG90wGsJU pic.twitter.com/z1teYT9KIw

— SBP (@StateBank_Pak) February 14, 2023

The rupee depreciated by 23.3% during the ongoing fiscal year against the greenback while the US dollar gained over Rs30 in the interbank market since the day Exchange Companies Association of Pakistan (Ecap) removed an unofficial cap on the exchange rate.

The reports suggested that this sharp increase in the value of the US dollar was because of resumption of $7 billion Extended Fund Facility (EFF) stalled for months.

Pakistan and IMF moved closer to the revival of their loan prgramme as Islamabad agreed to several conditions including increasing energy prices and improve tax collection, as demanded by the IMF.