Pakistan

Currency: Rupee hits 11-month high

Rupee closed at 84.15/25 to the dollar, compared with Tuesday’s close of 84.43/53 – its highest close since May 2010.

Reuters April 14, 2011 Less than a minute read

KARACHI: The rupee gained on Wednesday to end at a new 11-month high, amid lack of import payments and continuous healthy dollar inflows.

The rupee closed at 84.15/25 to the dollar, compared with Tuesday’s close of 84.43/53 – its highest close since May 2010.

“Oil payments are expected to start from next week so there may be pressure on the rupee,” said a dealer at a foreign bank.

The rupee has gained 1.75 per cent this year after losing 1.53 per cent last year.

Officials attributed the gain to a record inflow of remittances, strong foreign exchange reserves, healthy exports and a current account surplus.

In the money market, overnight rates fell to end at 11 per cent, compared with the previous day’s close of between 12 and 12.50 per cent, due to increased liquidity in the interbank market.

Published in The Express Tribune, April 14^th, 2011.