Dollar strengthens against rupee

Karachi: In the final months of the fiscal year, increased import activity and Prime Minister Shehbaz Sharif's declaration of the coming year as one of economic growth have raised expectations for higher demand for foreign exchange. As a result, the US dollar once again strengthened against the rupee in the interbank market on Tuesday, pushing the interbank rate beyond Rs282.

Although expectations of further inflows and rising official foreign exchange reserves led to improved supply, causing the dollar to depreciate during most of the trading session — dropping at one point by 10 paisas to Rs281.87 — demand from market forces returned as supply stabilized.

By the close of trading, the dollar had gained 14 paisas, settling at Rs282.11 in the interbank market.

In contrast, the open currency market remained unchanged for the second consecutive day, with the dollar holding steady at Rs284.40.