Dollar loses value against Rupee in Interbank market

Karachi: In a major shift in the currency exchange rates, Dollar lost its value against Pakistani rupee on Friday.

State Bank of Pakistan confirmed the development by saying that Dollar dropped by Rs0.16 in the  interbank market and by Rs0.8 paise in the open market.

On Friday, the dollar's rate in the interbank exchange stood at Rs278.50 rupees 50 down from the previous day's rate of Rs278.66.

Meanwhile, in the open market, the dollar's value decreased to Rs280.41, a reduction of Rs0.8 from earlier in the week.

Earlier this week, Fitch Ratings has upgraded Pakistan's Long-Term Foreign-Currency Issuer Default Rating to 'CCC+' from 'CCC'.

According to Fitch, the upgrade reflects greater certainty over continued availability of external funding, in the context of Pakistan's staff-level agreement with the IMF on a new 37-month seven billion dollars Extended Fund Facility.

It said that strong performance on the previous, more temporary IMF arrangement helped Pakistan narrow fiscal deficits and rebuild foreign exchange (FX) reserves, and further improvements are likely.