KARACHI: The US dollar rate in Pakistan went cheaper against Pakistani rupee by 86 paisa to Rs297.96 in the interbank on Thursday.

At the close of trading on Wednesday, the rupee closed at 301 and 298, according to data provided by the Exchange Companies Association of Pakistan (ECAP).

The rates are still more or less equal to the rupee’s value in the inter-bank market, a rare occurrence for the local currency that has seen a volatile ride in the past few weeks.

In the inter-bank market, the rupee was hovering at 297 against US dollar.

Being under a programme with the International Monetary Fund (IMF), the exchange rate gap between the inter-bank and open markets – called the premium by the IMF in its country report on Pakistan published after the SBA’s approval by the Executive Board – needs to be a maximum of 1.25%