Rupee strengthens by 4.3% against dollar in the open market, which is the best gain ever attained. As per the financial experts the valuation of the local currency has come after the rises in the kerb market during the weekend when the dollar was priced for 125/126 in comparison to its pre-election price of 131.80. The rupee has strengthened nearly 5 per cent.
As per sources, the current news of China giving loan of $2 billion and the financial support from the Kingdom of Saudi Arabia is assisting the Forex market to sustain.
Muhammad Sohail—a financial expert of the Topline Market Research informed that the local curreny increased by 4.3 per cent to 122.24/123.86 per dollar. This surge was witnessed after the local media reports regarding China and IDB support packages for providing financial assistance to Pakistan.
As per experts, the Islamic Development Bank (IDB) has also activated its 3 years $4.5 billion oil financing service for Pakistan that would further provide stability to the rupee-dollar exchange rate in the open market which has mostly been under a lot of stress.
The International Islamic Trade Finance Corporation (ITFC) has given a loan of $100 million this week. ITFC is a member of IDB Group. Additionally, Saudi Arabia might soon provide assistance of around $2 billion to Pakistan’s new government of Pakistan Tehreek-e-Insaf.
China has agreed to give $2 billion in regards of financially supporting Pakistan. Out of this amount $1 billion has been paid already this week.
It was observed that before the elections dollar was rising at a higher pace, however ever since the elections it has started to decrease slowly.
Moreover, it is expected that the US Dollar would continue to decrease even further once the new government is formed. Experts revealed that the stock market has gained two thousand four hundred points, which has brought a stability to Pakistani Rupee.
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