KARACHI: The Pakistani rupee lost Rs2 against the US dollar in the interbank market on Wednesday as the greenback continues to strengthen globally with the dollar index — which measures the greenback against six major peers — witnessing a fresh 20-year high.
The rupee closed at Rs223.42, down Rs2 from the previous day’s close of Rs221.42.
According to money market experts, dollar has been strengthing globally for weeks and its impact is being seen in Pakistan’s currency market as well.
The UAE government’s regulation mandating travellers from Pakistan to carry 5,000 dirhams in cash had also increased the greenback’s demand, estimating that this measure alone had pushed up demand in the open market by $5 million per day.
The economist also noted that a gap of around Rs. 10 between the open market and interbank needs more orderly movement so that remittances don’t flow through informal channels.
Currently, there is a huge difference between the open market and interbank rates as it is over Rs.11.
