ISLAMABAD: The Pakistani rupee maintained its momentum against the US dollar, and was up over 1.4% in the inter-bank market during the opening hours of trading on Tuesday.
At around 10:30am, the rupee was being quoted at 233.71, an appreciation of Rs3.31 or 1.42% against the greenback, during intra-day trading.
On Monday, Pakistan’s rupee had made positive strides as well, closing at 237.02 after appreciating Rs2.63 or 1.11% in the inter-bank market as it factored in the return of former finance minister Ishaq Dar, an advocate of a strong currency.
Dar, who returned to the country after a five-year self-exile in London on Monday, said he would take up the role of finance minister for the fourth time, adding that he wanted to get Pakistan out of its economic rut and stressing he wanted a strong and stable rupee.
“Prime Minister Shehbaz Sharif has asked me to accept the responsibilities of finance minister,” Dar said in a statement broadcast on state television on Monday evening. “By the grace of God, I will try my best to get Pakistan out of this economic rut.”
Dar is taking office, for the fourth time, with the challenge of getting the economy out of one of its worst balance of payment crises that has seen foreign reserves falling to a month of imports.
Reserves got a boost after the IMF board last month approved the seventh and eighth reviews of a bailout programme, allowing for a release of over $1.1 billion, but other inflows have not yet materialised.
Internationally, the US dollar maintained an upper hand against other currencies. The dollar index on Tuesday eased 0.1% to 113.8, after earlier touching 114.58, its strongest against a basket of peer currencies since May 2002.
Oil prices rose on Tuesday, after plunging to nine-month lows a day earlier, on indications that producer alliance OPEC+ may enact output cuts to avoid a further collapse in prices.