Dollar Could Fall to As Low As 250 if Crackdown Against Smuggling Continues: Bostan

Forex Association of Pakistan (FAP) President Malik Bostan has claimed that the US dollar could fall to as low as Rs. 250 if the crackdown against smuggling continues. Talking to a private TV channel, the FAP President credited the fall in the open market and interbank rates of the US dollar to the efforts being made by Chief of Army Staff (COAS) General Syed Asim Munir. Bostan said that the US dollar was nearing Rs. 350 in the open market but the crackdown against smugglers and the “dollar mafia” has reversed the Pakistani rupee’s decline. He mentioned that the open market rate was at least Rs. 30 higher than the interbank rate till a few days ago but now the open market is less than the interbank market rate. However, he cautioned that the reversal in the rupee’s fortune wouldn’t last if the crackdown against smugglers isn’t sustained. He further said that due to the depreciation in the price of the dollar, people who had hoarded dollars are now selling to avoid losses. He claimed that if the measures taken by the interim government remain in force, the dollar will eventually fall to Rs. 250. It is pertinent to mention here that from 338-335 last Monday, open market rates across multiple currency counters stood in the 296-300 range today. Since September 4, the open market rate has recovered by roughly Rs. 41 against the greenback. In the interbank market, the Pakistani rupee appreciated by 0.36 percent against the US dollar to close at 298.82, after gaining Rs. 1.07 today. The military’s top brass recently expressed its resolve to wholeheartedly assist the government in curbing all illegal activities that hamper economic stability, growth, and investors’ confidence.