The rupee lost 0.21 percent in the inter-bank market on Wednesday as it fell against the US dollar for the 26th successive day while after the Exchange Companies Association of Pakistan (ECAP) lifted an unofficial exchange rate cap the rupee lost value versus the dollar.
The rupee dropped by Rs0.49 to end the day at 230.89, according to the State Bank of Pakistan (SBP). The value of the rupee against the dollar has fallen by 11.44 percent so far this fiscal year.
ECAP has reported that at 4:35 p.m., the USD was trading at Rs243 in the open market, down 0.93 percent from yesterday’s closing of 240.75. The interbank market price was Rs230.89 when it closed.
Separately, ECAP General Secretary Zafar Paracha declared that discussions between ECAP representatives and SBP Deputy Governor Inayat Hussain were productive. The State Bank complied with all of our demands including lifting the restriction.
SBP further ordered commercial banks to give money to exchange businesses. He committed to eliminate the grey market by bringing the USD-PKR exchange rate in the open market to the “real” rate, according to Paracha.
Even when the restriction was lifted Paracha recognised that the rate being given on the open market was far lower than the rate on the black market. However, he continued that the organisation will progressively increase fees.
