The Pakistani Rupee continued to gain strength against the US Dollar on Wednesday, rising by Rs.04 to Rs. 284.68 in the Interbank Market at the opening hours.
On Tuesday, the Rupee had appreciated by Rs.04, or 0.37%, to Rs.285.72. The World Bank has projected that Pakistan’s real GDP growth will remain below potential in the medium term, with some improvement in investment and export performance.
The World Bank has projected that economic growth in Pakistan will remain below potential in the medium term, with a slight pick-up in investment and export growth. The World Bank has projected this in its report ‘Pakistan Development Update’ which was released on Tuesday.
The World Bank has warned that Pakistan’s economy will continue to be vulnerable to internal and external shocks unless a rapid fiscal adjustment is made and comprehensive reforms are put in place.
The US dollar rose against major currencies on Tuesday after data showed that job openings in the US unexpectedly rose in August amid an increase in the number of people seeking work in the professional sector and business services.
The US dollar has risen to a nearly 11-month high against a benchmark of currencies, reaching a level of 107.34, while the dollar index has remained at a low of 107.07. Last month, US Secretary of the Treasury, Janet Yellen, indicated that the extent to which Washington would be receptive to further Japanese yen-buying operations would depend on the specifics of the situation.
Additionally, oil prices, which are a measure of currency parity, decreased on Wednesday in anticipation of a meeting of Petroleum Exchanges Group (OPEC+ ministers), as the market balanced expectations of supply shortages with concerns that higher interest rates could lead to a decrease in fuel demand.
