Pakistan finance minister Ishaq Dar says rupee will strengthen to under 200 to the US dollar

KARACHI: Pakistan's newly appointed finance minister said on Monday that the country's currency will strengthen to under 200 rupees to the US dollar.

The rupee is currently at around 227 to the US dollar.

"The rupee's real value is below 200 (to $1), and, God willing, it will come below 200 (rupees)," Minister Ishaq Dar said in an interview with local television channel Geo News.

He added that the rupee would be strengthened through government "policies".

Dar’s comment comes as the Pakistani rupee reported a seventh consecutive gain against the US dollar on Monday, closing over 0.5% higher in the inter-bank market.

Seventh straight gain: Pakistan's rupee up over 0.5% against US dollar

As per the State Bank of Pakistan (SBP), the rupee closed at 227.29 after appreciating Rs1.16 or 0.51%. In the last seven trading sessions, the rupee has cumulatively appreciated Rs12.41 or 5.45%.

During the previous week, the rupee gained nearly 5%, appreciating across all five sessions against the US dollar as the return of Ishaq Dar at the helm of Pakistan’s economic affairs gave impetus to bullish sentiment in the money market.

Analysts said the return of Dar, widely seen as an advocate of a strong rupee, and measures taken by the SBP also reduced speculation activity, evident by the hefty gains posted by the local currency in the open market.