Malik Bostan, the President of the Forex Association of Pakistan (FAP), has suggested that the US dollar could potentially decline to as low as Rs. 250 if the crackdown on smuggling continues.
He attributed the recent decrease in the open market and interbank rates of the US dollar to efforts made by Chief of Army Staff (COAS) General Syed Asim Munir.
Bostan explained that the US dollar had been approaching Rs. 350 in the open market, but the crackdown against smugglers and the “dollar mafia” has led to a reversal in the decline of the Pakistani rupee. He noted that the open market rate was significantly higher than the interbank rate until recently, but now the open market rate is lower than the interbank rate.
Also Read: Rupee Surges Rs. 35 Against US Dollar in Open Market in 5 Days
However, Bostan cautioned that this positive trend in the rupee’s value may not continue unless the crackdown against smugglers is sustained. He also mentioned that individuals who had hoarded dollars are now selling them to avoid losses.
Bostan claimed that if the interim government’s measures remain in place, the dollar could eventually fall to Rs. 250.
It’s worth noting that open market rates for the US dollar have recovered from around 338-335 to the 296-300 range in recent days. Since September 4, the open market rate has strengthened by approximately Rs. 41 against the US dollar. In the interbank market, the Pakistani rupee appreciated by 0.36 percent against the US dollar, closing at 298.82, following a gain of Rs. 1.07.
The Pakistani military leadership has recently expressed its commitment to assisting the government in combating illegal activities that undermine economic stability, growth, and investor confidence.
