- Currency inches up 0.11% in inter-bank market on a weekly basis
Pakistan’s rupee remained unchanged against the US dollar in the inter-bank market during the final trading session of the week.
As per the State Bank of Pakistan (SBP), the rupee settled at 223.69 against the greenback on Friday. On a weekly basis, the rupee registered an appreciation of 0.11% against US dollar.
On Thursday, the rupee had recorded an appreciation against the US dollar to settle at 223.69 after falling Re0.26 or 0.12%.
The development comes as foreign exchange reserves held by the State Bank of Pakistan (SBP) decreased $327 million on a weekly basis, clocking in $7.5 billion as of November 25, 2022, as per data released on Thursday.
The reserves’ position is critical for Pakistan, which has been desperately seeking dollar inflows to meet its balance-of-payments needs. A low level of reserves puts pressure on the currency that has only seen stability in recent days.
Internationally, the dollar held firm on Friday but was pinned down near 16-week lows against a basket of major currencies as data showing increased US consumer spending in October emboldened investor hopes that the peak in interest rates was on the horizon.
The US dollar index, which measures the currency against six major peers including the yen and euro, rose 0.191% at 104.84 but was not far off Thursday’s low of 104.56, the lowest since Aug. 11.
Data on Thursday showed that US consumer spending in October increased at its greatest pace since January and the labour market remained resilient, with the number of Americans filing new claims for unemployment benefits declining last week.
Oil prices, a key indicator of currency parity, inched higher in Asian trade on Friday on hopes for further relaxation of COVID curbs in China, which could help demand recover in the world’s second biggest economy, though a firmer US dollar capped gains.
Inter-bank market rates for dollar on Friday
BID Rs 223.75
OFFER Rs 224.75
In the open market, the PKR remained unchanged for both buying and selling against USD, closing at 229.25 and 231.50, respectively.
Against Euro, the PKR lost 1.50 rupees for both buying and selling, closing at 248.50 and 250.50 respectively.
Against UAE Dirham, the PKR lost 30 paisas for buying and 20 paisas for selling, closing at 65.70 and 66.20, respectively.
Against Saudi Riyal, the PKR remained unchanged for both buying and selling, closing at 63.30 and 63.80, respectively.
Open-market rates for dollar on Friday
BID Rs 229.25
OFFER Rs 231.50