Market, rupee trade in positive territory

dubai — The Karachi Stock Exchange (KSE) and Pakistan rupee remained unfazed on Friday over the decision announced by an accountability court against former prime minister Nawaz Sharif and both traded in positive territory.

The benchmark KSE-100 index rose 0.11 per cent to 40,284.14 points with 75.63 million shares traded. The rupee exchanged hands at 121.70 against the US dollar in the inter-bank market and 124.30 in the open market.

“There is no surprise in the verdict and it was expected. It is my unbiased non-political opinion that it will not impact Pakistan economy,” Dr Hadi Shahid, managing director of Alliott Chartered Accountants, told Khaleej Times.

“There will be no new impact on Pakistan economy. Timings of the verdict may be political but businesses will remain as usual for the country,” Dr Shahid said.

Echoed similar views, Pakistan Forex Association president Malik Bostan said the country’s economy

is passing through a critical stage and the verdict is unlikely to impact the forex market.

“The currency has already been devalued twice in the recent past and the US dollar moved from 105 to 125 against Pak rupee in the past three months,” Bostan told Khaleej Times from Lahore.

“Pakistan economy is on a ventilator and much depends on the caretaker government to take necessary steps to stabilise the economy in general and rupee in particular,” he said, adding the country has no choice but to approach the International Monetary Fund to boost forex reserves that currently stands at $16.38 billion.

To a question, he said the rupee was exchanging hands at 33.70 and 33.90 against the UAE dirham at buying and selling counters in open market on Friday.

“The rupee is expected to remain under pressure and all eyes are on the caretaker government to take immediate steps to check imports, inflation and boost foreign exchange reserves of the country,” Bostan said.

muzaffarrizvi@khaleejtimes.com