In a bid to stabilize the rupee, the Pakistan Army has launched a fresh crackdown on the dollar black market, with security agencies targeting illegal currency dealers across major cities.
Sources told Reuters that a senior intelligence official met currency exchange companies earlier this week to coordinate efforts against hoarding and speculative trading.
The move comes amid renewed demand for US dollars due to cross-border smuggling and banking restrictions, which have driven buyers toward unregulated dealers offering faster rates.
Following the meeting, Federal Investigation Agency (FIA) teams began raiding black market operators, prompting many to go underground.
Malik Muhammad Bostan, chairman of the Exchange Companies Association of Pakistan, said the dollar rate dropped by Rs. 1 in the open market after the intervention, signaling early relief.
This marks the second major intervention in recent years, following a similar army-led effort in 2023 that temporarily stabilized the currency. Analysts warn, however, that long-term stability requires tackling underlying economic issues.