Rupee snaps 17-session losing streak

An assurance from the International Monetary Fund about the success of talks with Islamabad helped tilt the exchange rate in favour of the rupee on Thursday. The dollar depreciated after 17 consecutive appreciations in the inter-bank market. The IMF, however, expressed reservations by saying that the rupee must remain market-determined to alleviate external pressures and rebuild reserves. The IMF advised Pakistan to strengthen the transparency and efficiency of the forex market and to refrain from administrative actions to influence the rupee. The State Bank of Pakistan (SBP) has been trying to maintain transparency, but currency dealers said there was nothing unusual these days about the advice to keep the exchange rate under control. Currency dealers said reports about an inflow of $700 million from the IMF under the Standby Arrangement of $3 billion, had changed the market sentiment.