Pakistan rupee sticks to 281 levels to dollar amidst broader tensions

Dubai: The Pakistan rupee has held the line in FX trades, at 281.25 to the dollar, even the tensions play out from the overnight incidents on the border with India.

Trades have been range bound in recent weeks, at 279-280 for the better part of April and extending into the first week of May, FX analysts said.  In fact, the PKR’s trade has been range-bound ever since January 2024, at 277-284 to the $, the add.

When it comes to the Karachi stock market, sentiments improved through the first-half of the day, with the main index down by 1.5% after starting 5% lower.

"The PKR has shown resilience against USD in recent months," said Naveed Ali, a chartered accountant working with a UAE-based bank.

"This stability in value is largely attributed to various domestic and international factors, including economic policies, inflation rates, and global conditions.

"The trend seems to continue in near future with some modest decline in PKR value barring any major disruption. Nevertheless, the recent tension between India and Pakistan may expose some risks to PKR stability."