The rupee continued to strengthen against the US dollar in the interbank market on Wednesday but fell in the open market.

The development comes a day after the rupee rose 0.42 per cent in the interbank market to below 300, a barrier it crossed for the first time ever on Aug 24.

According to the Forex Association of Pakistan (FAP), the rupee had gained 1.64 against the greenback, from yesterday’s close of 299.89, and was at 298.25 at noon.

Meanwhile, the association said that the rupee depreciated in the open market. The dollar was changing hands at Rs301 after remaining unchanged on Tuesday at 300.

The local currency has significantly gained in the past few days, with analysts attributing the rise to an ongoing crackdown on illegal dollar outflows.