As per the State Bank of Pakistan (SBP), the rupee closed at 218.89 after depreciating Re0.46 or 0.21%. However, despite the depreciation, the rupee has gained 4.36% during the ongoing month.

On Friday, rupee had dipped against the US dollar, and closed at 218.43 after depreciating Re0.05 or 0.02% for the third consecutive session.

After staging a recovery since the last week of September, amid a shift in sentiment driven by Ishaq Dar’s arrival at the Ministry of Finance and measures taken by the central bank and authorities, the currency is now showing signs of stabilising against the greenback.

At the end of the previous week, it was reported that Dar will seek rescheduling of some $27 billion worth of non-Paris Club debt largely owed to China, but will not pursue haircuts as part of any restructuring.

The finance minister has also called for greater policy support from the International Monetary Fund (IMF) and multilateral donors in the backdrop of the climate-induced catastrophe and losses suffered by Pakistan.

Internationally, the US dollar remained dominant against other currencies, after data showed that US inflation rose in September by 0.4% from August, reinforcing bets of another aggressive rate hike at the next Federal Open Market Committee (FOMC) meeting.

The US dollar index, which measures the greenback against a basket of currencies including the yen, firmed at 112.93.

Oil prices, a key indicator of currency parity, were steady on Monday as China’s continuation of loose monetary policy was offset by fears that high inflation and energy costs could drag the global economy into recession.