KARACHI: The rupee gained against the US dollar for the third straight session on Tuesday, regaining another 91 paisa to close at Rs182.02 in the interbank market.
After touching an all-time low of Rs188.18 on Wednesday, the local currency has regained Rs6.16.
The currency market was anticipating a recovery in the rupee’s value versus the US dollar, as most market participants believed that speculative factors were driving the greenback’s value higher than it was worth.
Despite no changes in important economic indicators, the dollar is steadily declining, with the exception of the change of government in Islamabad.
Analysts and researchers see no immediate fix for improving the strength of the local currency, while dollar inflows are projected to remain unchanged. Market sources in the financial industry, on the other hand, expressed concern that any move to artificially lower the exchange rate would be counterproductive.
Exporters would not accept any plan to artificially lower dollar pricing, according to bankers, since it would harm exports, which have grown by 25% in the current fiscal year FY22.