August 24, 2023 (MLN): The Pakistani rupee (PKR) continued its descent against the US dollar, depreciating by 59 paisa in Thursday's interbank session as the currency settled the trade at PKR 300.225 per USD, compared to the previous session's closing of PKR 299.635 per USD.
The currency saw an intraday high (bid) of 300.5 and a low (ask) of 300.25.
In the open market, Exchange Companies quoted the dollar at 314 for buying and 316 for selling.
Dr Inayat Hussain, Central Bank Deputy Governor in a briefing to the Senate said that there was a substantial increase in demand for the dollar and that the process of controlling the dollar will be time-consuming.
According to the governor many individuals have heavily invested in dollars, which has further worsened the situation.
Despite the agreements with the International Monetary Fund (IMF), the rupee's stability remains a challenge, as noted by the Chairman of the Senate Committee.
Recalling the IMF staff report issued on July 18, 2023, a market-determined exchange rate was recommended to absorb external pressures. Consequently, the government's ability to control the rupee through trade restrictions has been limited.
The removal of restrictions on letters of credit (LCs) has led to an increased demand for dollars.
Additionally, the local unit faces pressure amid political uncertainty surrounding the general elections, which is causing turbulence in local markets.
It is worth noting that the depreciation of the local unit from 200 to 300 level against the USD occurred within a 15-month time span.
In comparison to major currencies, PKR lost 1.87 rupees against the Euro, closing at 326.16 compared to the previous value of 324.30.
The British Pound became more expensive by 1.5 rupees closing at 381.526 compared to 380.027 from a day ago.
The Swiss franc saw gains of 1.21 rupees, closing at 341.59 compared to 340.38 from the previous session.
Against the Japanese Yen, PKR lost 0.57 paisa, closing at 2.0667 versus 2.061 a day ago.
The Chinese Yuan gained 16.46 paisa, closing at 41.26 against 41.098 from the previous session.
The Saudi Riyal increased in value by 16.05 paisa from 81.576 a day ago to 81.736.
The U.A.E Dirham closed at 80.03 with a gain of 15.5 paisa from its value of 79.88 a day ago.
During the current financial year, PKR has depreciated against the Dollar by 14.23 rupees or 4.74%. While the current calendar year has seen PKR depreciate by 73.79 rupees or 24.58%.
In the Money Market, the benchmark 6-month Karachi Interbank Bid and Offer rates inched down by 1 bps to 22.91% and 23.16%.
Furthermore, the State Bank of Pakistan (SBP) conducted a reverse repo and Shariah Compliant Modarabah-based Open Market Operation (OMO) today, in which it cumulatively injected a total of Rs39.8 billion into the market.
Of which Rs14.8bn were injected through reverse repo OMO.
Meanwhile, the remaining Rs25bn was injected through Shariah-compliant Modarabah-based OMO.
Performance Summary
| Currency | Aug 24, 2023 | Aug 23, 2023 | Change | 1 Month | FYTD | CYTD | 1 Day % | 7 Day % | 1 Month % | MTD % | FYTD % | CYTD % |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| USD | 300.225 | 299.64 | -0.59 | -11.70 | -14.23 | -73.79 | -0.20 | -1.77 | -3.90 | -4.52 | -4.74 | -24.58 |
| EUR | 326.16 | 324.30 | -1.87 | -7.18 | -13.23 | -84.86 | -0.57 | -1.66 | -2.20 | -3.07 | -4.06 | -26.02 |
| GBP | 381.53 | 380.03 | -1.50 | -10.82 | -17.39 | -108.45 | -0.39 | -1.57 | -2.84 | -3.43 | -4.56 | -28.43 |
| CHF | 341.59 | 340.38 | -1.21 | -9.81 | -21.83 | -96.56 | -0.36 | -1.87 | -2.87 | -3.55 | -6.39 | -28.27 |
| JPY | 2.067 | 2.06 | -0.006 | -0.026 | -0.07 | -0.35 | -0.28 | -2.36 | -1.27 | -2.61 | -3.60 | -17.09 |
| SAR | 80.03 | 79.88 | -0.16 | -3.113 | -3.78 | -19.83 | -0.19 | -1.74 | -3.89 | -4.52 | -4.72 | -24.77 |
| AED | 81.74 | 81.58 | -0.161 | -3.18 | -3.87 | -20.08 | -0.20 | -1.77 | -3.89 | -4.52 | -4.74 | -24.57 |
| CNY | 41.26 | 41.10 | -0.165 | -0.84 | -1.59 | -8.70 | -0.40 | -2.20 | -2.03 | -2.81 | -3.86 | -21.08 |
52 Week Performance
| Currency | High | Low | Trading Band | % Since High | % Since Low | High Date | Low Date | Days Since High | Days Since Low |
|---|---|---|---|---|---|---|---|---|---|
| USD | 217.79 | 300.22 | 82.43 | -27.46 | 0.00 | 11-Oct-22 | 24-Aug-23 | 317 | 0 |
| EUR | 211.28 | 326.85 | 115.57 | -35.22 | 0.21 | 11-Oct-22 | 11-May-23 | 317 | 105 |
| GBP | 240.028 | 382.34 | 142.31 | -37.09 | 0.21 | 11-Oct-22 | 22-Aug-23 | 317 | 2 |
| CHF | 217.64 | 341.59 | 123.95 | -36.29 | 0.00 | 11-Oct-22 | 24-Aug-23 | 317 | 0 |
| JPY | 1.47 | 2.218 | 0.75 | -28.99 | 7.31 | 21-Oct-22 | 11-May-23 | 307 | 105 |
| SAR | 57.93 | 80.03 | 22.10 | -27.62 | 0.00 | 11-Oct-22 | 24-Aug-23 | 317 | 0 |
| AED | 59.30 | 81.74 | 22.44 | -27.46 | 0.00 | 11-Oct-22 | 24-Aug-23 | 317 | 0 |
| CNY | 30.07 | 43.09 | 13.02 | -27.12 | 4.43 | 25-Oct-22 | 11-May-23 | 303 | 105 |
Copyright Mettis Link News
Posted on: 2023-08-24T16:22:29+05:00
