Rupee once again rises versus the US currency

According to dealers, the rupee rose slightly versus the dollar on Monday, aided by importers’ weak demand for the greenback.

On Monday, the local currency gained 0.06 per cent to settle at Rs175.75 in the inter bank market.

According to statistics issued by the central bank, the Pakistani rupee has depreciated by 11.55 percent (or Rs18.21) since the start of the current fiscal year on July 1, 2021.

“The rupee fluctuates in response to the daily demand and supply of dollars in the currency market.” “There were no significant import payments today, which boosted the home currency,” remarked a foreign exchange broker.

“If this pattern continues, the rupee should remain stable in the short future,” says one analyst. However, there is a crucial trigger in the market right now, and investors are waiting for any good news from the Financial Action Task Force (FATF), which might enhance sentiment on the local currency.

The FATF plenary meetings are set in Paris from February 21 to March 4. The impending FATF judgement will determine if Pakistan should be removed from the grey list. According to media reports, government officials said that Pakistan had met FATF’s technical standards and that there was no need to retain Pakistan on the grey list. In the open market, the rupee finished lower. It ended the day at 177.80 per dollar, up from 177.50 on Friday.