Dollar continues sliding in interbank and open markets

KARACHI: The exchange rate of dollar plunged by 29 paisa in interbank and traded at Rs147.92 as compared to closing of last day at Rs148.21 on Friday.

In the open market, the greenback shed 20 paisas was traded at Rs149 by the close of the day.

According to currency dealers, the increasing inflows of remittance in connection ahead of Eidul Fitr have supported the local rupee in the market.

They said the majority of inflows came from Saudi Arabia and other Gulf countries, including the United Arab Emirates (UAE).

The increased remittances played a vital role in strengthening the value of the rupee and supply of dollar in the market.

On Thursday, the US dollar was down 43 paisas to close the day at Rs148.21 in the interbank market. In the open market, the greenback shed 80 paisas was traded at Rs149.20 by the close of the day.

The value of the rupee dropped soon after Pakistan signed a three-year $6 billion bailout agreement with the International Monetary Fund (IMF).

According to currency dealers, due to the lowering price of the dollar in the interbank market, the value of the greenback remained stable in the open market.

Earlier on Tuesday, the US dollar had reached the Rs151 mark in the interbank market, with the rupee falling by Rs1.40. In the open market, the rupee had slid to Rs150 against the dollar, down Rs0.50 as compared to the previous day.

Past trends suggest the supply of dollars and other foreign currencies increase in the market in the last 10 days of Ramazan and this is the case at present.