‘Artificial’ surge in US dollar paves way for permanent Governor of SBP

  • Dar says surge was “surprising” and “artificial”
  • New governor to be appointed as soon as PM Nawaz returns home

ISLAMABAD – Following the aftermath of the hike in value of US dollar, Finance Minister Ishaq Dar on Thursday said that permanent Governor of the State Bank of Pakistan (SBP) would be appointed as soon as Prime Minister Nawaz Sharif reached Pakistan after visiting Tajikistan.

He stated this while talking to media after chairing a meeting of bank CEO regarding the sudden spike in dollar. He further said that the surge was  “surprising” and “artificial,” adding that a transparent investigation would be conducted into the matter.

Dar added that the rise in the value of dollar happened due to miscommunication between certain people. All facts, including who gained profits and bore losses in result of this surge, will be gathered.

He said that the inquiry would be initiated after the appointment of the governor.

He also made it clear that no one, including himself was authorised to adjust the value of currency artificially, adding, “The market adjusts and stabilises on its own”.

Fluctuation in Dollar’s Value

On Wednesday, the US dollar surged to its 2.5-year-high against the Pakistan Rupee in the interbank market touching Rs108.

After closing at Rs104.90 on Tuesday, the dollar gained Rs3.12 to hit Rs108 today.

In the curb market NBP exchange quote was Rs105.90/106.40, lower than the interbank rate.

The rupee to dollar exchange rate depreciated by 3.1 per cent from Rs104.9 yesterday to Rs108.25 today, said a press release by the State Bank of Pakistan’s External Relations Department.