The Pakistani rupee (PKR) experienced a marginal decline against the US dollar during Thursday’s interbank trading session, depreciating by 4.33 paisa or 0.02 percent. The day closed with the rupee trading at PKR 281.52 per US dollar, compared to the previous closing rate of 281.47. This minor downward shift reflects the ongoing fluctuations in the currency market and broader economic sentiment.
Throughout the day, the PKR moved within a tight trading range, hitting an intraday high (bid) of 281.55 and a low (ask) of 281.50. In the open market, exchange companies quoted the greenback at 281.50 for buying and 283.15 for selling, suggesting a slight spread between interbank and open market valuations.
Despite the softening against the dollar, the PKR exhibited strength across several other major global currencies. It posted a notable gain of 1.79 rupees or 0.56 percent against the Euro, closing at 318.03 compared to the previous rate of 319.82. Similarly, it appreciated by 1.67 rupees or 0.45 percent against the British pound, ending the session at 374.12, up from 375.79 a day earlier.
The rupee also advanced by 66.90 paisa or 0.20 percent against the Swiss franc, finishing at 340.30. Against the Japanese yen, it strengthened by 1.43 paisa or 0.73 percent, with the rate settling at 1.9509 versus 1.9652 the previous day.
In Asian currency markets, the PKR appreciated by 3.66 paisa or 0.09 percent against the Chinese yuan, closing at 38.91 from 38.94. However, the local currency saw slight weakness against some Gulf currencies. It declined by 1.56 paisa or 0.02 percent against the Saudi riyal to close at 75.05, while also dropping by 1.29 paisa or 0.02 percent against the UAE dirham, ending the day at 76.64.
So far in the current fiscal year, the rupee has depreciated by 3.17 rupees or 1.13 percent against the US dollar. On a calendar year-to-date basis, the decline stands at 2.97 rupees or 1.05 percent. These figures highlight the challenges the rupee has faced amid global economic pressures, fluctuating oil prices, and changing interest rate environments.
In the money market, the benchmark six-month Karachi Interbank Bid and Offer Rates (KIBOR) remained stable, with no change recorded from the previous session. The bid rate held at 11.17 percent, while the offer rate remained at 11.42 percent, reflecting consistent short-term lending conditions in the banking sector.
Looking at the 52-week performance, the rupee has hovered near its annual low against the US dollar. It is currently down by 1.42 percent from its high of PKR 277.51 recorded on October 4, 2024, while simultaneously reaching its lowest point on May 8, 2025. Against the Euro and Pound, the PKR has recovered modestly from recent lows, driven by relatively better performance in the global currency markets and signs of stabilizing macroeconomic indicators within Pakistan.
Despite the minor daily depreciation against the dollar, currency analysts suggest the PKR’s broader performance remains relatively balanced. The gains against major currencies such as the Euro, Pound, Franc, and Yen suggest that underlying pressures on the rupee may be easing, even as global markets remain volatile. The State Bank of Pakistan’s policy posture, along with external account management and foreign exchange inflows, will continue to play a key role in determining the rupee’s trajectory in the weeks ahead.