Currency: Rupee strengthens against dollar
Heavy debt repayments to IMF have dented the central bank’s reserves.
KARACHI:
The rupee ended higher at 105.42/105.47 against the dollar in the interbank market on Tuesday, compared to Monday’s close of 105.52/105.57. 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 $109 million was made on December 30. 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, February 5th, 2014.
The rupee ended higher at 105.42/105.47 against the dollar in the interbank market on Tuesday, compared to Monday’s close of 105.52/105.57. 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 $109 million was made on December 30. 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, February 5th, 2014.