KEY POINTS
- Local unit holds firm at Rs 281.40 a dollar in interbank market
- Minor gains in open market as dollar demand softens
- Traders eye external inflows and global rate expectations
- Currency stability supported by regulatory vigilance
ISLAMABAD: The Pakistani rupee remained largely stable against the US dollar on Thursday, holding its ground in both the interbank and open markets amid subdued demand for foreign currency and steady inflow from exporters, with promising news on remittance.
According to data released by the State Bank of Pakistan (SBP), the rupee closed at Rs 281.40 per dollar in the interbank market, unchanged from the previous session.
In the open market, the greenback was quoted slightly lower at Rs 282.20, compared with Rs 282.40 a day earlier, according to the Exchange Companies Association of Pakistan (ECAP).
Currency dealers attributed the rupee’s stability to balanced flows, with routine import payments largely offset by exporter conversions.
“The dollar demand has softened this week as trade settlements normalized and speculative activity subsided,” said a senior foreign exchange dealer in Karachi.
External drivers and policy context
Globally, the dollar index eased on Thursday as investors positioned for possible U.S. interest rate cuts later this year following softer economic indicators, giving modest support to emerging market currencies.
Analysts noted that Pakistan’s currency continues to draw support from regulatory vigilance and monitoring of illegal foreign exchange activity, which has curbed volatility in recent weeks.
They said upcoming multilateral disbursements and sustained remittance inflows would be critical in maintaining exchange rate stability amid ongoing external repayment pressures.
Market outlook
Traders expect the rupee to remain range-bound in the near term, though sentiment could shift with any developments in foreign loan inflows, IMF engagements, or changes in global commodity prices.
“With the dollar under mild pressure globally, the rupee is likely to trade steady unless import demand spikes or geopolitical shocks emerge,” said an analyst at a Karachi-based brokerage.
