KARACHI: High dollar prices in the open market compelled the State Bank to hold an urgent meeting with exchange companies on Friday.

The officials of exchange companies, led by General Secretary, Exchange Companies Association of Pakistan (ECAP) Zafar Paracha, met SBP Executive Director Syed Irfan Ali.

In a meeting with exchange companies last week, the State Bank had asked currency dealers to bring down dollar rates. However, the greenback remained at the same level which created uneasiness among the SBP officials.

On Friday, the “State Bank expressed concern about increasing rates of US dollar and said there is no justification for such an increase,” said a press release issued by ECAP.

The SBP said there is no shortage of dollars and the supplies of cash dollars are available in any quantity with SBP, banks and exchange companies.

SBP advised exchange companies to refrain from speculation and rumors.

Mr Paracha, with the consent of State Bank, ensured regular supply of dollars in any quantity.

A number of suggestions were given by the ECAP to control this situation and improve remittances.

Published in Dawn, October 21st, 2017