KARACHI: The dollar appreciated against the rupee by Rs1.26 in the inter-bank market on Monday, as the country tackles one of the worst flood situations in its history. The greenback closed at Rs221.92.

The dollar was being traded at Rs230 in the open market in the early morning trade. The development comes as the International Monetary Fund is scheduled to hold its executive board meeting today (Monday) for the release of more than a $1 billion tranche for Pakistan.

Pakistan was hopeful of getting over a $1 billion tranche from the International Monetary Fund by Tuesday after meeting all the requirements of the global lender, Miftah Ismail, finance czar said last week.

Prices of basic commodities have also increased after flash floods triggered by heavy rains as sellers complain of interruption in the supply chain.