Karachi: On Friday, after a three-day hiatus, the dollar advanced again after a three-day break due to rumors of the dollar’s value exceeding 300 rupees in the future, due to demand and limited supply. increased to the level of Rs.284.
According to Express News, despite the trend of increasing foreign exchange reserves and new inflows following the approval of standby loans from the IMF, the dollar continued to advance. At the start of business in the interbank market, the dollar had fallen by 99 paise to Rs 275.47, but the dollar took a U-turn and started advancing due to increasing demand for opening new letters of credits for imports.
As a result, at the end of the business, the interbank rate of the dollar increased by 1.13 rupees to close at the level of 277.59 rupees. Likewise, due to the absence of dollar sellers and limited supply in the open currency market, the value of the dollar suddenly fell by 4 rupees. The increase closed at the level of Rs.284.
It should be noted that the global brokerage houses are predicting the value of the dollar to exceed 300 rupees in the near future and these predictions have reduced the supply of dollars in the market, which is leading to an increase in the value of the dollar.
Pakistan has to make external payments worth 9.5 billion dollars in the next 6 months, out of which 7.5 billion dollars are likely to be rolled over, but 2.5 billion dollars worth of debts are required to be repaid. Investors tracking these factors are preferring to buy rather than sell dollars in the market.
Secretary General of Exchange Companies Association of Pakistan, Zafar Paracha, told Express inquiry that due to the strict restrictions of the regulatory authority on the sale of dollars in the open market, the activities of the reference and handi market have started to increase again and this is the reason why the dollar exchange rate is increasing. The gap between bank and open rate is widening again.
He said that dollar sellers are absent in the open market, resulting in limited supply and rising rates.
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