Pakistani rupee continues rally against USD

The Pakistani rupee maintained its momentum against the US dollar in the interbank market on Wednesday, according to the State Bank of Pakistan.

The local unit gained Rs1.05 against the greenback to close atRs288.75 in the interbank, 0.36pc lower than yesterday’s close of Rs289.80.

The rupee has seen an upsurge in confidence as news of stringent administrative measures taken against black market dollar outflows to Afghanistan and Iran came to light.

The State Bank of Pakistan also announced structural reforms, directing commercial banks to establish their own exchange companies as fully owned subsidiaries.

In August, the Pakistani rupee had witnessed continuous devaluation. The buying and selling rates of the dollar in the open market were standing as high as Rs322 and Rs325 respectively.