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KARACHI: The rupee decreased marginally during the previous week as it lost Re0.12 or 0.04% against the US dollar. The local unit closed at 278.33, against 278.21 it had closed the week earlier against the greenback, according to the State Bank of Pakistan (SBP).

In recent weeks, the domestic currency has largely been around 277-278 against the dollar as Pakistan moves forward with its plan to win a longer and longer International Monetary Fund (IMF) bailout programme.

In a key development, the government reduced another Rs4.74 in the petrol price, taking the new rate to Rs268.36 per litre. The price of high-speed diesel (HSD) was also slashed by Rs3.86 per litre to Rs270.22.

Meanwhile, a brokerage house sees the central bank might opt for easing of monetary policy in a meeting scheduled on June 10 amid a downward trajectory of the inflation rate.

The Finance Division expects the country’s headline inflation to hover around 13.5-14.5% in May 2024, and will ease further in the coming months.

Prime Minister Shehbaz Sharif will visit China from June 4 to 8 on the invitation of President Xi Jinping. The prime minister has also directed the authorities concerned to prepare an action plan to encourage Chinese companies to set up industrial units in Pakistan.

At the same time, according to two government sources who spoke to Reuters, the federal government might present the financial year 2024/25 annual budget on June 10.

In the open market, the PKR lost 16 paise for buying and 13 paise for selling against USD, closing at 277.11 and 279.49, respectively.

Against Euro, the PKR gained 25 paise for buying and 16 paise for selling, closing at 298.48 and 301.33, respectively.

Against UAE Dirham, the PKR lost 10 paise for buying and 8 paise for selling, closing at 75.26 and 75.98, respectively.

Against Saudi Riyal, the PKR lost 11 paise for buying and 10 paise for selling, closing at 73.52 and 74.20, respectively.

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THE RUPEE

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Weekly inter-bank market rates for dollar

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Bid Close Rs. 278.33

Offer Close Rs. 278.53

Bid Open Rs. 278.21

Offer Open Rs. 278.41

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Weekly open-market rates for dollar

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Bid Close Rs. 277.11

Offer Close Rs. 279.49

Bid Open Rs. 277.02

Offer Open Rs. 279.55

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Copyright Business Recorder, 2024

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