The Pakistani Rupee (PKR) faced a slight dip in value, losing 5 paisa or 0.02% against the US dollar in Wednesday’s interbank session, settling at PKR 277.79 per USD compared to the previous day’s close at 277.74. During the trading day, the rupee recorded an intraday high (bid) of 277.90 and a low (ask) of 277.75, showing limited movement within a narrow range.
In the open market, exchange companies reported the dollar at PKR 276.81 for buying and PKR 278.66 for selling, reflecting a slight premium over the interbank rate.
PKR’s Performance Against Major Currencies
The rupee exhibited mixed trends against other major currencies. It weakened by 48.46 paisa or 0.16% against the Euro, closing at PKR 300.72 compared to PKR 300.24 the day before. Similarly, PKR lost ground against the British Pound, depreciating by 94 paisa or 0.26%, closing at PKR 361.34, down from PKR 360.40.
However, the rupee made modest gains against the Swiss Franc, appreciating by 38.59 paisa or 0.12% to end the day at PKR 320.24. Against the Japanese Yen, it strengthened marginally by 0.05 paisa or 0.03%, closing at PKR 1.8126 compared to the previous day’s PKR 1.8131.
Against the Chinese Yuan, the rupee declined by 9.60 paisa or 0.25%, ending the session at PKR 38.99, down from 38.89. It also depreciated by 1.33 paisa or 0.02% against the Saudi Riyal, settling at PKR 73.97. In relation to the UAE Dirham, the rupee fell by 1.36 paisa or 0.02%, closing at PKR 75.63.
PKR’s Year-to-Date and Fiscal Performance
Despite recent fluctuations, the Pakistani Rupee has appreciated against the US dollar by 54.89 paisa or 0.20% since the beginning of the current fiscal year. Additionally, on a calendar-year basis, PKR has strengthened by 4.07 rupees or 1.46% against the dollar.
Money Market Snapshot
In the Money Market, the 6-month Karachi Interbank Bid and Offer Rates (KIBOR) observed a decrease of 12 basis points, with the bid and offer rates falling to 13.63% and 13.88%, respectively. The drop in KIBOR suggests slight easing in borrowing costs for short-term lending, potentially alleviating financial pressure on businesses and banks reliant on interbank loans.
Conclusion
The Pakistani Rupee’s minor decline against the dollar reflects the ongoing adjustments to supply and demand dynamics in the interbank market, with PKR showing mixed results against other major global currencies. As the central bank continues to monitor exchange rate pressures, the rupee’s movement will likely remain a focal point for both investors and policymakers.
