Rupee ends firmer against dollar

KARACHI: The rupee ended firmer against the dollar on Monday, amid foreign currency demand for import payments, dealers said.

The exchange rate ended at Rs174.47 against the greenback from last Friday’s closing of Rs174.48 in the interbank foreign exchange market.

The dealers said the market witnessed dollar demand for import payments, as the market opened after two weekly holidays. They; however, said the market remained positive due to inflows received last week.

The rupee made sharp gains last week, owing to the transfer of funds from the International Monetary Fund (IMF) and Sukuk proceeds.

It maintained the gaining momentum for the last eight consecutive days since reaching Rs176.98 on January 26, 2022. During this period, the local currency gained Rs2.5, or 1.41 per cent, against the greenback.

The dealers expressed the hope that the rupee would likely to remain stable during the coming days due to a decline in the import bill and improved foreign exchange reserves.

The import bill in January 2022 recorded a decline of 22 per cent to $5.9 billion, compared with $7.58 billion in December 2021, according to the data released by the Pakistan Bureau of Statistics.

The dealers; however, said that the rising international oil prices may pose a threat to the rupee value in the coming days.