Rupee may maintain stability

The rupee is likely to maintain stable position against the dollar next week, owing to buffer stocks of foreign exchange reserves, analysts said.They said that the recent inflows from multilateral and bilateral sources would ease pressure on the dollar demand.

Pakistan’s foreign exchange reserves increased to $20.9 billion by week ended April 1, despite repayment of $602 million. The increase in the forex reserves is mainly attributed to inflows of $978 million, which also included $503 million from the IMF.

In the week (April 4 to April 8), the local unit remained stable against the dollar and ended at 104.69 after initiating the week at 104.71 on April 4.