PKR inches down to 278.64 against USD

KARACHI
Pakistani rupee inched down by one paisa against the US dollar in the inter-bank market on Tuesday.
The State Bank of Pakistan (SBP) said that the rupee opened at 278.63 against the dollar in the interbank market and closed at 278.64.
The local unit gained 30 paisas last week against the greenback. Overall, the rupee has improved by Rs9.65 during the current fiscal year 2023-24. The local unit improved by Rs0.39 in February, Rs2.36 in January and Rs3.31 in December, while it shed Rs3.69 against the US dollar in November after gaining Rs6.26 (+2.23 percent) against the greenback in the month of October. Similarly, the local unit lost traction against the greenback in the open market.
The rupee was quoted at 278.54 for buying and 281.15 for selling against 278.50 for buying and 281.10 for selling a session earlier, according to data provided by different exchange companies. The rupee surged against the greenback by Re1 in February, Rs2 in January and Rs3.50 in December.
Meanwhile, it was learned that Pakistan is likely to sign the staff-level agreement with the International Monetary Fund (IMF) next week. The signing of a staff level agreement with the IMF will clear the way for Pakistan to receive the last tranche of $1.1 billion under the Stand-By Agreement. It was reported that during the talks with the IMF, Pakistan’s officials assured the international lender of jacking up electricity tariff from July 1, while monthly, quarterly, and yearly fuel adjustments will be slapped on consumers for cost recovery.
In a related development, the country’s foreign currency reserves increased 0.22 percent week-on-week to $7.91 billion, according to the weekly update released by the SBP. The central bank’s foreign currency reserves reached $7,912.9 million in the week ended on March 8, 2024, up $17.2 million compared to the previous week’s tally of $7,895.7 million. Of the total, the foreign currency reserves held by commercial banks rose to $5,238.4 million compared to $5,124.3 million a week ago. Accordingly, the country’s total liquid reserves came in at $13,151.3 million in the week under review, up from $13,020 million in the prior week.