KARACHI: A managed exchange rate policy has been criticized for harming Pakistan's export and investment sectors, according to local exporters. The artificial rate has discouraged exporters and created obstacles for foreign investment, particularly in the exportable manufacturing industry. Over the past 18 months, the Pakistani rupee has appreciated by at least Rs4 against the US dollar, according to sources. This gradual appreciation has raised concerns among business leaders who argue that the policy is not conducive to economic growth. The situation has led to growing frustration among exporters who feel the policy is detrimental to their competitiveness in international markets. (dawn.com)

The managed exchange rate has been in place for more than a year and a half, with the central bank maintaining control over the dollar-rupee parity. This approach has been seen as a departure from market forces, which many economists believe could lead to long-term economic challenges. Some analysts suggest that a more flexible exchange rate could help attract foreign capital and boost export-oriented industries. However, the current policy remains a point of contention among policymakers and business groups. (dawn.com)