{"id":1415,"date":"2023-09-07T13:04:06","date_gmt":"2023-09-07T13:04:06","guid":{"rendered":"https:\/\/news.pakistaninewspaperlist.com\/pkrs-upward-trajectory-continues-in-interbank-open-market\/"},"modified":"2023-09-07T13:04:06","modified_gmt":"2023-09-07T13:04:06","slug":"pkrs-upward-trajectory-continues-in-interbank-open-market","status":"publish","type":"post","link":"https:\/\/pakistaninewspaperlist.com\/news\/pkrs-upward-trajectory-continues-in-interbank-open-market\/","title":{"rendered":"PKR\u2019s upward trajectory continues in interbank, open market"},"content":{"rendered":"

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The upward trajectory of the rupee continued for a second day on Thursday as it extended its gains against the dollar in both the interbank and open market.<\/p>\n

The development comes a day after the central bank decided<\/a> to introduce structural reforms in the exchange companies\u2019 sector in order to provide \u201cbetter services to the general public and bring transparency and competitiveness\u201d.<\/p>\n

In the interbank market, the local currency gained Rs2.04 against the dollar to come to 304.94 from yesterday\u2019s close of 306.98.<\/p>\n

According to the Forex Association of Pakistan (FAP), the dollar was selling for Rs307 in the open market \u2014 down by Rs5 from the previous day\u2019s Rs312 \u2014 by 12:45pm.<\/p>\n

Mettis Global Director Saad Bin Naseer said that the \u201cupside movement in the kerb market appeared to be primarily driven by speculative activity, and the interbank market was following same\u201d.<\/p>\n

\u201cAfter implementing measures to control the kerb market and initiating operations against those responsible for this move, the market has become calmer in the interbank sector,\u201d he told Dawn.com<\/em>.<\/p>\n

\u201cThis suggests that sentiment is the main driving force behind these market dynamics,\u201d he said, expressing the hope that remittances would also start coming through legal channels.<\/p>\n

\u201cIf government action continues [\u2026] the demand for physical dollars will reduce, and the supply from the open market to the interbank will increase, which will strengthen the PKR in the following days,\u201d he said.<\/p>\n

Currency dealer Zafar Paracha gave credit for the PKR\u2019s gains to the army chief\u2019s meetings with businessmen. He said that moral had been lifted and the \u201cair of hopelessness\u201d over the market had passed.<\/p>\n

\u201cEven exporters, who had hoarded dollars, are cashing in as the [grey] market is falling. Exchange rate companies are selling in the interbank,\u201d Zafar said.<\/p>\n

JS Global Capital\u2019s Head of Research Amreen Sorani told Dawn.com<\/em> that efforts to improve the money exchange sector from the regulator\u2019s end had led to an uptick in the local currency.<\/p>\n

\u201cThe material movement has been noted in open market rates only,\u201d she said.<\/p>\n

\u201cFrom here onward, the movement is subject to scheduled payments we have pending. Import payments and commodity prices, especially oil, are key risks,\u201d she said.<\/p>\n

A day earlier, a crackdown<\/a> on the informal currency market had started to help the gap between the interbank and open market rates edge closer to the International Monetary Fund\u2019s (IMF) target of 1.25 per cent.<\/p>\n

The State Bank of Pakistan had also stepped up supervision of the foreign exchange market, ordering banks to set up separate entities to conduct forex transactions and extending a clampdown on hard-currency hoarders and smugglers.<\/p>\n

\u201cFollowing the crackdown, illicit currency dealers are now in the shadows. The open market has stabilised, even though trading volumes have diminished,\u201d Malik Bostan, FAP president had said.<\/p>\n

Bostan had denied reports that law enforcement officials were deployed at exchange companies to monitor operations.<\/p>\n

However, inside sources from the financial sector had indicated that authorities have tightened their grip on exchange companies, relentlessly pursuing illegal currency merchants across the country.<\/p>\n\n

Additional reporting by Hasaan Ali Khan and Shahid Iqbal<\/em><\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

The upward trajectory of the rupee continued for a second day on Thursday as it extended its gains against the dollar in both the interbank and open market. The development comes a day after the central bank decided to introduce structural reforms in the exchange companies\u2019 sector in order to provide \u201cbetter services to the […]<\/p>\n","protected":false},"author":2,"featured_media":1416,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"fifu_image_url":"https:\/\/i.dawn.com\/large\/2023\/09\/071409260df970f.jpg?r=141008","fifu_image_alt":"","footnotes":""},"categories":[192],"tags":[],"class_list":["post-1415","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-islamabad-news"],"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/posts\/1415","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/comments?post=1415"}],"version-history":[{"count":0,"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/posts\/1415\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/media\/1416"}],"wp:attachment":[{"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/media?parent=1415"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/categories?post=1415"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/pakistaninewspaperlist.com\/news\/wp-json\/wp\/v2\/tags?post=1415"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}