Karachi October 12 2022: Pakistan Rupee falls for the first in interbank trading in last fourteen sessions against dollar as worker remittances fall notably in September 2022 and dollar index edged higher.
Pakistan workers’ remittances decreased by 10.5 percent on month on month and by 12.3 percent on year on year basis with inflow of US$ 2.4 billion during September 2022.
“Dollar inflows are increasing in October through the channel of remittances, Roshan Digital Account and exports” says SBP Governor.
The U.S. dollar index - which measures the greenback against a basket of six major peers, including the yen, sterling and the euro - edged 0.08% higher to 113.43, after earlier touching the highest since Sept. 29 at 113.59.
Pakistan Rupee gains PKR 21.92 or 10.1% in last thirteen sessions due to finance minister assurance that the government’s is fully committed to fully honor all the commitments made with International Monetary Funds (IMF) and other creditors, besides addressing the issues faced by the local business community and increased financial assistance from financial institutions.
“Pakistan central bank did not sell dollars in the interbank to strengthen Rupee. Rupee strengthening is a result of efficient management, increasing remittances and flows in Roshan Digital Account as evident by decreasing difference between KERB and Interbank rates, increase in export receipts and expectation of flows from financial institutions” says Central Bank Governor.
Pakistan Rupee depreciate 9 paisa or 0.04 percent in interbank to close the trading at 217.88 against yesterday closing of 217.79. In the last thirteen consecutive session rupee gains PKR 21.92 or 10.06% from recent low of 239.71.
Moreover, In Open Market Rupee depreciate PKR 1.5 to trade at 220.5 at PST 16:00, according to Forex Association of Pakistan.
The finance minister categorically dismissed the speculation with respect to approach Paris Club for the rescheduling of loans of the multi-lateral lenders and donor agencies, besides extending the date of maturity of Pakistani bound in international market.
The bond would be matured by December this year and all the payments would be endured with in time to maintain and protect national sovereignty, he added.
The United Nations has scaled up appeal for the ‘Floods Response Plan’ in Geneva, seeking $816 million to control a surge in water-borne diseases following the country’s worst floods in decades.
“World Bank will also provide assistance of US$1 bn for flood relief operations but it tied to meeting of certain criteria” says SBP Deputy Governor Murtaza Syed.
The Asian Development Band (ADB) will provide flood relief support to Pakistan to the tune of US$ 2.3 to 2.5 billion including US$ 1.5 billion for the BRACE program which will be placed before the ADB Board for approval during this month says Country Director ADB for Pakistan Yong Ye told Finance Minister Senator Mohammad Ishaq Dar.