Islamabad: Pakistani rupee gained 23rd consecutive gain against the dollar as it appreciated 0.37 percent by reaching 281.65 from 282.69 on the first day of the week.
Interbank closing #ExchangeRate for today https://t.co/Y4N14UBQb9#SBPExchangeRate pic.twitter.com/P70gl8fn6k
— SBP (@StateBank_Pak) October 9, 2023
The durability of the rupee’s surge has raised concerns among experts. Earlier predictions had suggested that it might not dip below the 285 mark, primarily due to diminishing foreign exchange reserves, a lack of substantial inflows, and fragile economic fundamentals.
The primary reason for this phenomenon stems from the intensified measures taken against unlawful demands, encompassing illicit currency exchanges and the intricate world of hundi-hawala operations. This rigorous crackdown, it must be noted, has long been overdue in its execution; its implementation should have occurred considerably earlier in our timeline.
Zafar Paracha, Secretary-General of the Association for Exchange Companies in Pakistan, expressed admiration for the government’s resolute stance against illicit trade, emphasizing the constructive outcomes achieved through these actions.
He underscored the ongoing endeavors to curb unlawful border crossings originating from Afghanistan, underscoring that the Pakistani Rupee (PKR) had seen a substantial 25% upswing in strength against the US dollar, characterizing this uptrend as both gradual and sustainable.
With an eye to the future, he radiated optimism about the potential for the dollar’s depreciation to Rs250 in the near term. Paracha maintained that the industry would undergo fortification in the wake of the crackdown, and he anticipated a commensurate enhancement in the nation’s gross domestic product (GDP).
He accentuated the pivotal role played by the government in fostering positive change, asserting, “The government’s manifold initiatives are contributing significantly to this transformative process. From my perspective, our preeminent concern should not pivot solely on electoral matters; rather, we should prioritize the amelioration of our nation’s overall conditions.”