The Pakistani rupee registered marginal improvement against the US dollar in the open market on Wednesday, while the local currency maintained an upward momentum in the inter-bank market.
During the day, currency dealers Business Recorder reached out to said the rupee was being quoted at 284.50 for selling and 281.50 for buying purposes for customers.
At the end of trading, the currency closed at the same rates, according to data provided by the Exchange Companies Association of Pakistan (ECAP).
On Tuesday, it had closed at 284.75 for selling and 281.75 for buying purposes.
In the inter-bank market, the rupee registered back-to-back gains against the US dollar as it appreciated 0.06% on Wednesday. As per the State Bank of Pakistan, the local unit settled at 283.61 after an increase of Re0.17 against the greenback.
Despite a decline in foreign exchange reserves, the market remains confident amid an expected release of funds by the International Monetary Fund (IMF) next month, said experts.
As per a report, the IMF’s executive board will meet on January 11 to consider the loan programme with Pakistan.
In a related development, the Monetary Policy Committee (MPC) of the State Bank of Pakistan (SBP), in line with expectations, kept the key policy rate unchanged at 22% on Tuesday.
“The decision does take into account the impact of the recent hike in gas prices on inflation in November, which was relatively higher than the MPC’s earlier expectation,” the MPC said.
The committee assessed that the real interest rate continues to be positive on a 12-month forward-looking basis and inflation is expected to remain on a downward path.
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