The Pakistani currency (PKR) continues its impressive recovery against the US Dollar (USD) in the interbank market, reflecting a strengthening local currency. On Thursday, at mid-day time, the PKR gained an additional 90 paisa compared to the previous closing rate of PKR 293.88 per USD, trading at PKR 292.95/293.
Over the past 12 trading sessions, the PKR has demonstrated remarkable resilience, appreciating by approximately 4.83pc or 14.15 rupees against the USD in the interbank market. This positive trend is attributed to the government’s stern action against speculators, hoarders, and smugglers aimed at curtailing illegal dollar outflows.
“The strengthening of the PKR is poised to continue if the efforts against dollar smuggling persist. In the near future, it is expected that the PKR may reach 250 against the greenback,” commented Malik Bostan, chairman of the Exchange Companies Association of Pakistan (ECAP).
Furthermore, exchange companies have reported a noteworthy improvement in transparency, leading to a substantial increase in daily dollar transfers from $5 million to $15 million per day.
It’s crucial to note that despite the recent positive developments, workers’ remittances experienced a year-on-year decline of 23.74%, amounting to $2.09 billion in August.