Currency: Rupee strengthens against dollar
Heavy debt repayments to the IMF put pressure on the rupee.
KARACHI:
The rupee ended higher at 106.28/106.33 against the dollar in the interbank market on Thursday, compared to Wednesday’s close of 106.53/106.58.
Heavy debt repayments to the IMF have dented the central bank’s reserves, which have declined significantly, putting pressure on the rupee. Fresh repayment of $396 million was made on November 26. Overseas Pakistanis sent home a record $13.92 billion in the previous fiscal year (July 2012-June 2013), a growth of 5.56% or $733.64 million compared with $13.187 billion a year earlier.
According to data provided by the State Bank of Pakistan, overseas Pakistanis remitted $5.275 billion between July and October this year. Overnight rates in the money market remained flat at 10%.
Published in The Express Tribune, December 20th, 2013.
The rupee ended higher at 106.28/106.33 against the dollar in the interbank market on Thursday, compared to Wednesday’s close of 106.53/106.58.
Heavy debt repayments to the IMF have dented the central bank’s reserves, which have declined significantly, putting pressure on the rupee. Fresh repayment of $396 million was made on November 26. Overseas Pakistanis sent home a record $13.92 billion in the previous fiscal year (July 2012-June 2013), a growth of 5.56% or $733.64 million compared with $13.187 billion a year earlier.
According to data provided by the State Bank of Pakistan, overseas Pakistanis remitted $5.275 billion between July and October this year. Overnight rates in the money market remained flat at 10%.
Published in The Express Tribune, December 20th, 2013.