PKR jumps by Rs1.16 in interbank

The Pakistani rupee continued its upward momentum on Monday, rising by Rs1.16 against the dollar in the interbank market. The PKR closed at Rs227.29 per dollar, an appreciation of 0.51 per cent from Friday’s close of Rs228.45, according to the State Bank of Pakistan. Head of Research at Tresmark, Komal Mansoor, said the rupee was appreciating on the back of a “flood of positives” since Ishaq Dar took over as finance minister. Fuel and electricity prices had been reduced while inflation in September was measured at 23.18pc compared to expectations of 27pc, she noted. Flood relief to the tune of $2-3 billion was expected to flow in the short to medium term and the parity was being managed by verbal intervention, she added. “We may not have the reserves to throw in the market to bring the parity down but these tactics seem to be working for now. Whatever the yardstick used by the incoming finance minister, it should be made transparent and [implemented] after having all stakeholders on board,” Mansoor commented.-PNP