The rupee made massive gains of Rs4.7 against the US dollar on Thursday on the back of news about the Chinese banks signing a $2.3 billion loan for Pakistan.
The Pakistani currency had registered a similar rally in the first trading session on Wednesday but lost steam and the US dollar closed higher at the end of the day.
On Thursday, however, market sentiments differed and the rupee constantly climbed.
The US dollar closed at Rs207.23 after falling Rs4.7, or 2.27%, according to the data shared by the State of Pakistan.
The Pakistani Rupee recorded the highest single-day gain of Rs4.7/US$ since July 2015 as previously the green buck rose above Rs4 on June 28th, 2019, says SAMAA Money’s Wakilur Rehman.
In the open market, too, the US dollar depreciated by Rs4 and was traded at Rs208.
The appreciation in the value of the rupee came a day after Federal Finance Minister Miftah Ismail stated that Chinese banks had agreed to extend a $2.3 billion loan facility for Pakistan and there was a decline in global commodity markets, particularly for crude oil.
On Tuesday, the rupee had made intraday gains of as much as Rs1.80 before the rupee closed weaker by the end of the day.
This is a developing story and will be updated accordingly.