Exchange Companies Association of Pakistan (ECAP) revealed a 0.34% decrease in the open market, dropping the currency to Rs289 against the dollar. Zafar Paracha, General Secretary of ECAP, attributed the pressure on the currency to importers securing dollars in preparation for potential outcomes from the ongoing IMF review of Pakistan’s economy. Read - IMF seeks further power tariff hikeThis surge in the central bank’s dollar purchases has amplified the demand for foreign currency, further straining the local currency. Despite positive indicators such as increased remittances in October and a slight rise in foreign exchange reserves, the currency market largely overlooked these developments. The prolonged currency strain continues amidst ongoing geopolitical uncertainties and economic negotiations.

Source: The Express Tribune November 14, 2023 15:27 UTC