Rupee rises following oil price fall

Pakistani currency on Tuesday ticked up Rs0.06 and closed at Rs278.30 against the US dollar in the inter-bank market as gains came in the wake of a notable fall in global oil prices, which reduced demand for the greenback for energy imports. According to the State Bank of Pakistan (SBP)’s data, the rupee had closed at Rs278.36 against the dollar on Monday. Brent crude price decreased 3.4% to $78.33 per barrel while the US crude oil benchmark fell 3.7% to $74.17/barrel in international markets. The share of energy imports is high at over one-fourth in Pakistan’s total imports of nearly $52 billion in the current fiscal year, indicating how energy prices impact economic activities in the country.