USD Exchange Rate: Rupee fluctuates against major currencies

Pakistani rupee remains steady against US Dollar, while it lost value against the British Pound (GBP) and Euro (EUR).

The currency market showed minor fluctuations today, with the Pakistani rupee holding steady against major currencies. The USD was quoted at Rs 278.50 for buying and Rs 279.75 for selling.

Meanwhile, the British Pound (GBP) saw trading rates of Rs 360.90 for buying and Rs 364.50 for selling.

The Euro (EUR) was priced at Rs 302.75 for buying and Rs 305.75 for selling.

In the Gulf currency segment, the Saudi Riyal (SAR) was traded at Rs 73.50 for buying and Rs 74.20 for selling. The United Arab Emirates Dirham (AED) registered a buying rate of Rs 75.35 and a selling rate of Rs 76.10.

Similarly, The Australian Dollar (AUD) was valued at Rs 184.50 for buying and Rs 188.00 for selling,

Whereas the Canadian Dollar (CAD) stood at Rs 201.70 for buying and Rs 205.50 for selling.

Among other notable currencies, In the Swiss Franc (CHF) market, rates were recorded at Rs 321.80 for buying and Rs 325.50 for selling,

On the other hand, the Omani Rial (OMR) traded at Rs 717.50 for buying and Rs 724.70 for selling.

The Bahraini Dinar (BHD) was quoted at Rs 731.65 for buying and Rs 739.00 for selling.

Lastly, the Kuwaiti Dinar (KWD) remained the highest, with a buying price of Rs 898.90 and a selling price of Rs 907.90.

Photo: NBP Exchange company limited

On the other hand, The prices of Pakistan's global sovereign bonds have seen a remarkable increase, alongside a significant drop in their yields—the rate of return or six-monthly interest payments—since yields and prices move inversely.

Muhammad Sohail, CEO of Topline Securities, highlighted that Pakistan's dollar-denominated Eurobonds, which were yielding around 20-40% last year, have now fallen to near single digits, ranging between 9-11%.

He noted that this sharp decline in yields could open avenues for the government to access commercial borrowing from international markets on more favorable terms.

In an interview with The Express Tribune, AKD Securities Director of Research Muhammad Awais Ashraf confirmed that global investors are increasingly purchasing Pakistan's Eurobonds, with rising prices and a notable decrease in demand for higher yields.

The situation has been further bolstered by the International Monetary Fund's Extended Fund Facility (EFF) of $7 billion, which spans 37 months.

This program has significantly boosted investor confidence, leading them to believe that the nation has secured the necessary external financing. Consequently, Eurobonds are now seen as an attractive asset, offering better prices and returns moving forward.