Pakistan's military helps stifle currency black market to stabilise rupee

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By Ariba Shahid and Mushtaq Ali KARACHI/PESHAWAR, Pakistan (Reuters) - When the military was called on to help defend Pakistan's ailing currency, ...

Hurricane Lee to impact Atlantic Canada this weekend | SaltWireKARACHI/PESHAWAR, Pakistan - When the military was called on to help defend Pakistan's ailing currency, licensed foreign exchange traders cheered while their black market rivals in the bazaars of Peshawar, Karachi and other cities shuttered their shops before they got taken away.

Called to Islamabad to discuss how to fix the dysfunctional state of the currency market, Malik Bostan, chairman of the Exchange Companies Association of Pakistan , spelt out the problem - hardly anyone was selling or remitting dollars through regular channels. Two currency dealers, one in Karachi, the other in Lahore, also said security officials, including officers who identified themselves as being from the ISI, had summoned them to learn what was needed.

"A few days ago, some people, believed to be law enforcement officials, came here and arrested senior members of this market and put them in their vehicles with tinted glasses and drove them away to an unknown location," said Haji Luqman Khan, an aged trader, told Reuters.

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Pakistan's military helps stifle currency black market to stabilise rupeeBy Ariba Shahid and Mushtaq Ali KARACHI/PESHAWAR, Pakistan (Reuters) - When the military was called on to help defend Pakistan's ailing currency, ...
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