The association says it has taken this decision to stop the sale of dollar in the black market.
Karachi: (UrduPoint/Pakistan Point News-Jan 24th, 2023) The Exchange Companies Association of Pakistan (ECAP) on Tuesday decided to remove the cap on the US Dollar to stop illegal sale of Dollars in the grey markets.
The latest reports said that the decision would be effective from tomorrow (Wednesday).
The Exchange companies unanimously said that the decision was made in a bid to end surging “artificial” demand for the dollars in the local markets.
The ECAP announced that they were going to take this decision for the larger national interest as the limit was causing serious effects.
In the statement, the association said that there was an artificial demand in the markets as the people would buy the dollars from them and sell it in the black market.
“The business is now shifting from official channels to the grey ones,” said the association, citing the peoples’ tendency.
It added that this trend was hurting not only the reserves but also causing serious loss to the exchange companies.
The Association said, “Dollar is allowed to trade at the market value, the customers will automatically shift from the grey market to the legal ways,”.
ECAP General Secretary said Zafar Paracha said that there was huge demand of 90 per cent of dollars which was fake. He stated that the people would buy dollars from official channels and would intend to illegal channels to sell them.
The development took place at the moment when dollar is being traded at different rates including official rate of the SBP, the rate of exchange companies and the rate of in the black market.
The development took place at the moment when dollar is being traded at different rates including official rate of the SBP, the rate of exchange companies and the rate of in the black market.
