KARACHI: The US dollar on Wednesday maintained it upwards march hitting new peak against the rupee, but the State Bank of Pakistan (SBP) through two commercial banks sold dollars to check the local currency’s further slide in the inter-bank market, said market sources.

The dollar soared to an all-time high at Rs169.70 during the session, but the selling of dollars by commercial banks on behalf of the SBP helped the rupee to gain some weight and the dollar closed at Rs169.12.

Currency dealers in the inter-bank market said the demand for dollars remained high which was the main reason for its price appreciation. “The intervention of the SBP did some work on Wednesday, but it will not in future as the demand for dollars seems to remain high,” said Atif Ahmed, a currency dealer in the inter-bank market.

“How long the SBP will continue to pump dollars which have been borrowed at a very high commercial rates?” he wondered.

Banker said that some banks, which have strong community-based clients and always remain surplus with dollars, were also buying dollars from the inter-bank market.

“These banks receive the highest amount of export proceeds but they are also buying dollars pushing up the demand for the greenbacks,” said the banker.

Published in Dawn, September 16th, 2021

Opinion

Editorial

Updated 20 May, 2022

TTP peace talks

ANOTHER attempt to sue for peace with the outlawed TTP is being made, again facilitated by the Afghan Taliban that...
20 May, 2022

Beyond the law

THE senior judiciary should take care not to overreach in its zeal to ‘fix’ issues it ideally need not worry...
20 May, 2022

Political musical chairs

YET another political crisis is brewing in Balochistan, where old rivals Jam Kamal Khan Alyani and Sardar Yar...
Updated 19 May, 2022

To be or not to be

The same decision taken weeks or months from now will have far more devastating consequences.
19 May, 2022

Impact on Punjab

THE Supreme Court judgement interpreting the issue of disqualification of parliamentarians under Article 63A of the...
19 May, 2022

Forest fires

THOUGH spot and forest fires have become a perennial phenomenon especially in peak summer, the recent blazes —...