Gen Asim promises transparency in exchange rate
Lahore/Karachi_On the first day of the business week, the interbank market saw the dollar’s value increase by 53 paisas, while in the open market, it surged by 2 rupees.
The staggering climb to Rs330 in the open market is a new record that has left traders and the public grappling with the implications.
Last week had witnessed a slight dip in the dollar’s value in the interbank market, as it had depreciated by 7 paisas, closing at Rs305.47 according to the State Bank of Pakistan (SBP).
However, the respite was short-lived as the dollar bounced back, reaching an all-time high of Rs305.54 in the interbank market, surpassing the previous week’s high of Rs301.
The open market also experienced a surge, closing at Rs328, an increase of 5 rupees.
Economists are attributing this rise in the dollar’s value to various factors. Firstly, the conclusion of the International Monetary Fund (IMF) standby program has led to increased pressure on the dollar, with imports and exports being impacted.
Additionally, external payments made in July further contributed to the dollar’s appreciation.
Earlier,
As Pakistan rupee is experiencing a freefall producing multidimensional consequences for economy with everyone in the country already hit hard by the inflation, Chief of Army Staff Gen Asim Munir promised transparency in exchange rate and bringing currency exchanges into tax net.
The statement is of great significance as the difference between the Pakistan rupee and the US dollar in official exchange rate and open market is widening which is even higher when it comes to the black market.
According to the Lahore Chamber of Commerce and Industry (LCCI), the army chief expressed these views in a meeting with the business community at the Corps Headquarters in Lahore as they discussed a wide range of issues pertaining to economy and their impacts on the country.
“The money exchanges would be brought under the purview of taxation, fostering transparency in dollar exchange and interbank rates,” Gen Asim said.
In the context of the current state of affairs and the resultant statement, one has to keep it in mind that the IMF condition relating to market determining the exchange rate is responsible for the rupee depreciation.
