October 19, 2023 (MLN): The Pakistani rupee (PKR) exhibited a notable recovery by appreciating by 1.47 rupees against the US dollar in Thursday's interbank session to settle at PKR 278.81, as compared to the previous day's closing of PKR 280.29.
The local unit saw an intraday high (bid) of 280.09 and a low (ask) of 278.5.
In the open market, the local unit gained 1 rupee, as the exchange companies the dollar at 277 for buying and 280 for selling, compared to the previous closing of 278 for buying 281 for selling.
It is important to mention that in yesterday's trading session, the local unit lost 3.25 rupees in the interbank and 4 rupees in the open market against the USD amid low liquidity of the US Dollars within banks, due to which they are quoting tomorrow's forward rates.
Yesterday, Syed Shabbar Zaidi, ex-chairman of the Federal Board of Revenue in a post on X (formerly Twitter) termed the US dollar hike as ‘artificial’, urging the authorities to take immediate action.
“Names of all persons buying from Exchange Companies regularly & frequently to be communicated to State Bank & FBR. Exchange Company’s sale of Dollar to be inspected daily by State Bank staff. Intelligence agencies to be activated.” he added.
To note, the local currency had maintained a winning streak for 28 consecutive sessions amid the ongoing army-backed crackdown to restrict illegal dollar outflows, along with other administrative measures implemented by the government.
Moreover, reforms introduced by the State Bank of Pakistan (SBP) to consolidate and transform various types of exchange companies into a single category with a well-defined mandate and higher capital requirements are enhanced transparency.
It is worth noting that the SBP suspended the authorization of five exchange companies of B- Category last week, underscoring the central bank’s commitment to ensuring compliance with regulatory standards.
This comes in addition to the suspension of four exchange companies in the previous month.
These reforms also apply to the banks actively engaged in foreign exchange business, mandating them to set up wholly owned ECs to address the legitimate foreign exchange needs of the general public.
Following the guidelines of the central bank, certain banks such as; Habib Metropolitation Bank (PSX: HMB), Bank Al Falah Limited (BAFL), Faysal Bank Limited (PSX: FABL), Allied Bank Limited (PSX: ABL), Bank Al Habib Limited (PSX: BAHL), MCB Bank Limited (PSX: MCB), Meezan Bank Limited (PSX: MEBL), and United Bank Limited (PSX: UBL), have decided to establish their own exchange company.
In comparison to major currencies, PKR gained 2.73 rupees against the Euro, closing at 293.76 compared to the previous value of 296.49.
The British Pound became cheaper by 4.08 rupees closing at 337.85 compared to 341.94 from a day ago.
The Swiss franc saw losses of 1.78 rupees, closing at 309.9 compared to 311.67 from the previous session.
Against the Japanese Yen, PKR gained 1.06 paisa, closing at 1.861 versus 1.872 a day ago.
The Chinese Yuan lost 0.23 paisa, closing at 38.1033 against 38.334 from the previous session.
The Saudi Riyal closed at 74.33 with a loss of 39 paisa from its value of 74.72 a day ago.
The U.A.E Dirham decreased in value by 40 paisa from 76.308 a day ago to 75.908.
During the current financial year, PKR has appreciated against the Dollar by 7.18 rupees or 2.57%. While the current calendar year has seen PKR depreciate by 52.38 rupees or 18.79%.
In the Money Market, the benchmark 6-month Karachi Interbank Bid and Offer rates inched down by 49 bps to 21.93% and 22.18%.
Furthermore, the State Bank of Pakistan (SBP) conducted a reverse repo and Shariah Compliant Modarabah Open Market Operation (OMO) today, in which it injected a total of Rs732.75 billion into the market through reverse repo OMO.
While no bids were received against the invited quotes for Shariah-compliant Modarabah-based OMO.
Performance Summary
| Currency | Oct 19, 2023 | Oct 18, 2023 | Change | 1 Month | FYTD | CYTD | 1 Day | 7 Day | 1 Month | MTD | FYTD | CYTD |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| USD | 278.8134 | 280.2868 | 1.4734 | 15.0700 | 7.1771 | -52.3825 | 0.53% | -0.08% | 5.41% | 3.20% | 2.57% | -18.79% |
| EUR | 293.7578 | 296.4874 | 2.7296 | 20.5358 | 19.1730 | -52.4503 | 0.93% | 0.74% | 6.99% | 2.96% | 6.53% | -17.85% |
| GBP | 337.8522 | 341.9358 | 4.0836 | 25.5493 | 26.2851 | -64.7765 | 1.21% | 1.41% | 7.56% | 3.55% | 7.78% | -19.17% |
| CHF | 309.896 | 311.6722 | 1.7762 | 17.5507 | 9.8608 | -64.8674 | 0.57% | -0.15% | 5.66% | 0.88% | 3.18% | -20.93% |
| JPY | 1.8613 | 1.8719 | 0.0106 | 0.1229 | 0.1310 | -0.1477 | 0.57% | 0.38% | 6.60% | 3.57% | 7.04% | -7.94% |
| SAR | 74.3304 | 74.7212 | 0.3908 | 4.0134 | 1.9236 | -14.1254 | 0.53% | -0.08% | 5.40% | 3.20% | 2.59% | -19.00% |
| AED | 75.9079 | 76.308 | 0.4001 | 4.1061 | 1.9539 | -14.2555 | 0.53% | -0.08% | 5.41% | 3.20% | 2.57% | -18.78% |
| CNY | 38.1033 | 38.334 | 0.2307 | 2.1660 | 1.5664 | -5.5376 | 0.61% | 0.18% | 5.68% | 3.38% | 4.11% | -14.53% |
52 Week Performance
| Currency | High | Low | Trading Band | % Since High | % Since Low | High Date | Low Date | Days Since High | Days Since Low |
|---|---|---|---|---|---|---|---|---|---|
| USD | 219.731 | 307.1 | 87.3685 | -21.19% | 10.15% | 25-Oct-22 | 05-Sep-23 | 359 | 44 |
| EUR | 216.243 | 332.701 | 116.4572 | -26.39% | 13.26% | 21-Oct-22 | 31-Aug-23 | 363 | 49 |
| GBP | 247.05 | 387.972 | 140.9223 | -26.88% | 14.83% | 21-Oct-22 | 31-Aug-23 | 363 | 49 |
| CHF | 219.424 | 347.163 | 127.7391 | -29.19% | 12.03% | 25-Oct-22 | 31-Aug-23 | 359 | 49 |
| JPY | 1.4676 | 2.2178 | 0.7502 | -21.15% | 19.15% | 21-Oct-22 | 11-May-23 | 363 | 161 |
| SAR | 58.4702 | 81.8703 | 23.4001 | -21.34% | 10.14% | 25-Oct-22 | 05-Sep-23 | 359 | 44 |
| AED | 59.8233 | 83.6089 | 23.7856 | -21.19% | 10.15% | 25-Oct-22 | 05-Sep-23 | 359 | 44 |
| CNY | 30.0713 | 43.0908 | 13.0195 | -21.08% | 13.09% | 25-Oct-22 | 11-May-23 | 359 | 161 |
Copyright Mettis Link News
Posted on: 2023-10-19T15:39:01+05:00
