Rupee gains

KARACHI: The rupee strengthened for the second straight day on Friday on healthy supplies, with positive sentiment about the country’s economic outlook also supporting the domestic currency, traders said.

In the interbank market, the rupee closed at 165.79 against the dollar, compared with the previous closing of 165.96.

In the open market, the local unit ended slightly weaker at 166.20 against the dollar. It had finished at 166.15 on Thursday.

Traders said the rupee remained strong despite some outflows in the form of debt repayment by the government.

The government was scheduled to make $30 million debt payments to the International Monetary Fund (IMF) under its extended fund facility programme.

“The (local) currency was stable and the external debt repayments didn’t put a downside pressure on the exchange rate,” a currency dealer said.

“Sentiment is positive, with market participants also comforted by the constant improvement in the current account balance and impressive growth in workers’ remittances.”