K
ARACHI: The dollar, which had dropped in the interbank market yesterday, saw an increase again today.
Yesterday, the dollar closed at 275 rupees and 44 paise, having risen by 10 rupees and 55 paise in the interbank exchange. Today, it became more expensive by 1 rupee and 97 paise, closing at 277 rupees and 41 paise. Meanwhile, in the open market, the dollar’s price increased by 1 rupee, reaching 281 rupees.
Following the standby agreement between Pakistan and the International Monetary Fund (IMF), the dollar’s value had decreased yesterday.
Reports indicate that Pakistan has provided nine assurances to the IMF through the Letter of Intent (LOI), committing to increase its total foreign exchange reserves by the end of FY 2024 from the current level of $4.056 billion. The goal is to raise reserves to $7.65 billion, eventually reaching $11.7 billion.
The IMF Executive Board is set to meet on July 12, 2023, in Washington, DC, to approve a short-term bailout package of $3 billion based on the signed LOI and to consider issuing a $1 billion tranche to Pakistan. This $1 billion installment is expected to be disbursed shortly after the approval of the loan package by the IMF Executive Board. IMF officials have already shared copies of the Letter of Intent with the Board members, where Finance Minister Ishaq Dar and the Governor of the State Bank have pledged to implement essential reforms in the banking and energy sectors to manage financial account discrepancies.
