The Pakistani rupee continued its upward trend on Tuesday as investors and traders rejoiced on the news regarding the International Monetary Fund (IMF) agreement to increase the size and duration of $6 billion loan program for Pakistan.
According to the State Bank of Pakistan (SBP), the rupee closed at Rs185.62, gaining Rs0.43 (or 0.23%) against the US dollar in the inter-bank market contrasted to its last close of Rs186.05 on Monday.
Currency dealers say that the IMF statement, regarding the fund mission’s visit to Pakistan in May to resume talks for completing the seventh review had helped sentiment.
In addition to the IMF program revival, the expected $2.4 billion rollover from China and other foreign inflows would give crucial support to the balance of payments and the rupee.
The rupee has maintained a depreciating trend over the last 12 months. It has declined by Rs33.35 to date, compared to the record high of Rs152.27 recorded in May 2021.
With a fresh incline of 0.23%, the Pakistani rupee has devalued by Rs28.08 since the beginning of the current fiscal year on July 1, 2021.