Rupee closes weaker against dollar

KARACHI: The rupee ended weaker against the US dollar in the interbank market on Wednesday, despite positive remarks from the International Monetary Fund (IMF) about Pakistan’s economy

The rupee finished at 279.26 per dollar, in contrast to Tuesday’s closing value of 279.17. In the open market, the rupee slightly fell, trading at 281.06 against the dollar, a decline from 281.04 in the previous session.

Prime Minister Shehbaz Sharif stated that Pakistan’s economy is headed towards long-term recovery due to a stabilisation programme, supported by the IMF. These remarks came in Sharif’s meeting on Tuesday with IMF Managing Director Kristalina Georgieva on the sidelines of the World Government Summit 2025 in Dubai.

The first review of a $7 billion IMF Extended Fund Facility programme is scheduled for early March. In a post on X, Georgieva said, “I am encouraged by their strong commitment to Pakistan’s IMF-supported reforms and support their decisive actions.”

These would help pave the way to higher growth and more jobs for Pakistan’s youthful population, she said.

Dealers said that the local currency is trading within a specific range, largely influenced by the demand and supply of US dollars in the market. When the demand for dollars from importers exceeds the inflows from exporters’ conversions and remittances, the rupee tends to weaken. Conversely, if the supply of dollars surpasses demand, the rupee strengthens.