Crackdown on Dollar speculation: exchange companies begin to deposit dollars with SBP

KARACHI: In response to a heightened crackdown on dollar speculation by government authorities, money exchange companies have started to reduce their dollars inventory.

Exchange companies have started depositing their dollar reserves with the State Bank of Pakistan (SBP), according to sources within the SBP.

Fearing a potential further decline in the value of the dollar, these exchange companies have begun to reduce their dollar holdings. The recent erosion of the Pakistan Rupee against the US Dollar had prompted these companies to accumulate dollar reserves, explained sources. However, the intensified efforts to curb black market activities are expected to exert additional downward pressure on the dollar’s value.

Rupee maintains upward trend against dollar

In the open market, exchange companies are currently purchasing the dollar at a rate of 305 rupees. Those who had hoarded dollars in anticipation of further exchange rate depreciation are now facing the consequences of these measures.

Additionally, exporters have refrained from repatriating dollars to Pakistan and have instead opted to wait for their goods to appreciate in value in terms of Pakistani Rupees in the international market.

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