Rupee strengthens

KARACHI: The rupee extended gains for the third consecutive session on Friday, amid healthy dollar inflows and muted demand for the greenback from importers, dealers said.

The rupee closed at 162.49 against the dollar, gaining 37 paisas from the previous closing of 162.86 in the interbank foreign exchange market.

In the open market, the local unit ended stronger at 163 against the dollar, compared with Thursday’s closing of 163.40. It gained 40 paisas during the session. Dealers said the domestic currency continued to appreciate due to the lack of import pressure and increased supply of the greenback in the market.

“The rupee has been supported by strong inflows in the form of remittances. The steps taken by the central bank to encourage Pakistani diaspora to send money home through legal channels and a good response from overseas Pakistanis to Roshan Digital Accounts have helped the rupee gain strength,” a foreign exchange dealer said.

“The expectation of further improvement in the current account balance is also building sentiment in the market,” the dealer added.