KARACHI: The rupee rose slightly, breaching the key resistance level of 280 per dollar in the interbank market on Wednesday.The rupee closed at 279.97 against the dollar, up 0.01 per cent from its close at 280 in the previous session.
In the open market, the rupee also posted marginal gains. It traded at 281 per dollar, compared with 281.05 on Tuesday.Dealers said that the local currency has continued to appreciate gradually and steadily, thanks to a smooth supply of dollars amid sustained growth in remittances and a persistent increase in foreign exchange reserves. However, they are cautious about how long the rupee will remain stable, given the rising imports and declining exports.
However, reports indicate that Pakistan is positioning itself as an emerging global defense exporter, with potential defense export orders totaling $13 billion. This shift could have a significant impact on the country’s external account dynamics and industrial landscape in the medium term.
The report said that the estimated $13 billion pipeline includes fighter aircraft, trainer jets, armored vehicles, drones, naval platforms, and ammunition. If these orders materialise, they would represent more than 80 per cent of Pakistan’s current forex reserves and approximately 3.7 per cent of its gross domestic product.
