ISLAMABAD: The US dollar continued its forward march against the Pakistani currency on Thursday morning and its value increased to 230 rupees in the open market. In the inter-bank, the dollar edged up to 219.50 rupees, from the previous day’s rate of 218.
Thus, the gap in the dollar’s value between the open market and inter-bank has widened to a record high _ 10 rupees per dollar. And this unexpected gap in the exchange rate would encourage inflows of dollar and other major currencies through illegal channels instead of banks which are offering just 219.50 rupees against 230 rupees rate prevailing in the open market today at around 11:15am.
On Friday (Aug 26), the last working day of this week, the US dollar is expected to stop its unbridled flight temporarily as the executive board of the International Monetary Fund is scheduled to meet on August 29 to consider for approval the disbursement of $1.17 billion to Pakistan.
According to the State Bank of Pakistan, the amount of IMF loan will be transferred to Pakistan within six days after board’s approval.
The SBP officials and capital market analysts believe that the release of IMF loans would discourage ongoing dollarisation in the country and the Pakistani rupee would demonstrate stability in the inter-bank and open market. After disbursement of IMF loan, dollar-rupee exchange rate can drop to around 210 rupees in the inter-bank and open market operations.