Rupee steady if IMF talks go well.
The rupee’s stability against the US dollar next week depends on how well talks with the International Monetary Fund (IMF) go. Analysts say if the IMF review goes well and interest rates stay the same, the rupee should stay steady. Currently, the rupee is doing slightly better against the dollar, closing at 278.74 on Friday, with a small increase of 0.11% during the week.
The IMF is reviewing Pakistan’s loan program, which is set to expire in April. A successful review could mean Pakistan gets around $1.1 billion. The State Bank of Pakistan is expected to keep its interest rate at 22% due to high inflation. Some experts think rates might drop later in the year.
While the rupee remains stable, people are expecting its value to decrease compared to the dollar. Pakistan’s foreign exchange reserves have increased slightly. Analysts believe the rupee won’t get much stronger because it could hurt exports and increase imports. They also expect interest rates to decrease gradually, which could help the economy.
Overall, if talks with the IMF go well and interest rates remain stable, the rupee should stay steady against the dollar.
