Open-market: rupee edges higher against US dollar

The Pakistani rupee saw marginal improvement against the US dollar in the open market on Thursday, while the local currency also strengthened in the inter-bank market.

During the day, rupee was being quoted at 284.25 for selling and 281.25 for buying purposes for customers.

At close, the currency settled at the same rates, according to data provided by the Exchange Companies Association of Pakistan (ECAP).

On Wednesday, it had settled at 284.50 for selling and 281.50 for buying purposes.

In the inter-bank market, the rupee maintained its momentum against the US dollar for the eighth consecutive session as it appreciated 0.04% on Thursday. As per the State Bank of Pakistan, the local currency settled at 282.79 after an increase of Re0.11 against the greenback.

Experts said that the currency is expected to remain stable as the market awaits the International Monetary Fund (IMF) executive board meeting, which is scheduled on January 11.

The IMF’s executive board will decide on the release of the next tranche of $700 million to Pakistan under its ongoing $3 billion Stand-by Arrangement (SBA).

The market remains confident amid an expected release of funds by the IMF next month, said experts.

The expected release of funds would improve the external position of the country, and could unlock inflows from other multilateral and bilateral creditors, providing further cushion to the currency.