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Rupee ends higher against dollar

Our Correspondent
Saturday, Jun 22, 2024

KARACHI: The rupee ended slightly stronger against the dollar in the interbank market on Friday, thanks to soft dollar demand from importers, dealers said.

The rupee closed at 278.51 per dollar, compared with Thursday’s close of 278.60.As importer demand declined and exporters sold dollars, the rupee gained ground versus the US dollar, according to dealers, who said the currency recovered from the previous session's losses to end marginally higher.

In the open market, the rupee ended slightly weaker against the dollar. It was trading at 280.37 versus the dollar, compared with 280.32 in the previous session.

The State Bank of Pakistan reported on Friday that the real effective exchange rate depreciated to 100.7 in May from 104.4 in the previous month.

Since the worries surrounding the budget have been resolved; interest rates have been lowered; and the economy is recovering; analysts predict that the rupee will stay steady in the coming sessions. The approval of the budget opens the door for a new IMF programme, which is a prerequisite before it is finalized.