The greenback closed at Rs279.50 in the interbank market on Wednesday, according to the State Bank of Pakistan.

Last month, local media reported that the appreciation of the rupee has compelled exporters to sell their dollars in the banking market. Such a tendency helped the exchange rate remain stable.

The local currency started appreciating after a deal with the International Monetary Fund for a $3 billion bailout package.

Moreover, the lender lowered its 2024 economic growth projection for Pakistan to 2.0%, less than 0.5% from 2.5% in October last year.

In its World Economic Outlook update on Tuesday, the IMF sees gross domestic product growth of 2.0% this year, 0.5 percentage points below the October estimate.

The international lender’s growth forecast is lower than the government’s 3.5% GDP growth target for the current year. But the lender raised the 2025 projection to 3.5%.