Dollar value drops in interbank market as rupee strengthens

Karachi: The exchange rate of the dollar decreased in the interbank market, while only a one-paisa increase was recorded in the open market. 

The strengthening of the Pakistani rupee against the dollar in the interbank market on Tuesday was driven by several factors, including an increase in remittances from overseas Pakistanis, a record $24 billion in remittances received over the past eight months, growing foreign exchange reserves, and a facility provided by China for the deferment of $2 billion in loan repayments. As a result, the dollar's exchange rate in the interbank market fell below Rs280. 

Investor interest from various countries and positive sentiments in Pakistan also contributed to the decline of the dollar’s value in the interbank market, with the dollar temporarily dropping by 26 paise to Rs279.80 rupees. However, due to improved supply and demand on a sectoral basis, the dollar closed at Rs279.95, showing a decrease of 11 paise by the end of the trading day.