KARACHI (Web Desk) The rupee gained 30 paisas against the dollar on Thursday to close the session at a five-month high of Rs161.82 against the greenback in the open market, data released by the Exchange Companies Association of Pakistan (ECAP) showed.
“The dollar is likely to hit Rs160 by December of this year, mainly on account of declining imports and a significant jump in remittances,” said ECAP Chairman Zafar Paracha.
The rupee’s appreciation comes on the heels of a record current account surplus of $792 million in the first quarter of the current fiscal year, as reported by the State Bank of Pakistan (SBP) on Wednesday. Higher inflows — to the tune of $2 billion per month over the last four months in the form of remittances — and lower outflows due to lower oil imports; debt suspension by the G20 countries; and a rebound in textile exports have helped stabilise the rupee.
The dollar peaked against the rupee at Rs168.43 on August 26 but has fallen more than 3.9 per cent or Rs6.61 since then.
