Sharp depreciation in dollar rate hints Ishaq Dar involvement in dollar rate manipulation in Pakistan
Following Pakistan Muslim League-Nawaz (PML-N) leader Ishaq Dar’s return to Pakistan and his impending take over at the federal finance ministry, the value of the Pakistani rupee continues to improve, gaining another Rs3.11 against the US dollar on Tuesday.
According to the State Bank of Pakistan (SBP), the rupee appreciated by 1.33% on Tuesday, gaining Rs3.11 to increase in value from Rs237.02 to Rs233.91 against the US dollar.
On Monday, the rupee had had closed at Rs237.02 during intraday trading in the interbank market.
Earlier on Tuesday morning, the rupee appreciated by another Rs3.2 in the interbank market, improving to Rs234.
The rupee has appreciated by more than Rs5.74 in just two days over news of Ishaq Dar’s return.
In the first 21 days of September, the rupee had lost around Rs21.11 as a Rs1.1 billion tranche from the International Monetary Fund (IMF) and an Rs3 billion rollover by Saudi Arabia could not withstand forces of political instability and extensive macroeconomic tumult due to the floods.
In the open market, the price of a single dollar fell to Rs233.50 as the rupee continued to perform strongly.