KARACHI: The Pakistani rupee made significant gains against the US dollar in the interbank market on Thursday, causing the local currency to surge by Rs2.02.
According to reports gathered by MM News from forex dealers, the rupee skyrocketed by over rupees two and was currently being traded at Rs284.60.
This latest development follows a recovery of the Pakistani rupee against the US dollar on Wednesday, where it appreciated by 0.63% in the interbank market and settled at 286.62, an increase of Rs1.81.
Experts in the market have attributed the recent volatility in the exchange rate to the lack of progress in the resumption of the International Monetary Fund (IMF) programme.
The IMF programme has remained stalled since last year and its resumption is crucial for the cash-strapped South Asian economy, which is battling high inflation and low foreign exchange reserves.
It may be recalled that the IMF, in its latest report, the World Economic Outlook (WEO), has revised downward the GDP growth rate projection for Pakistan from 2% to 0.5% for the current fiscal year, i.e., 2023. The Fund has also projected a rise in inflation from 19.9% to 27.1% and unemployment from 6.2% to 7%.
