Karachi, Pakistan – As of May 01, 2022, the following rates are applicable for the buying and selling of one UAE Dirham (AED) in Pakistani Rupee (PKR) in the open market:
• Buying Rate: Rs 49.25 per UAE Dirham
• Selling Rate: Rs 49.75 per UAE Dirham
These rates were updated at 07:23 AM Pakistan Standard Time (PST).
Exchange Rate Definitions
The buying rate represents the amount of Pakistani Rupees (PKR) that an exchange company or bank offers to a customer selling one UAE Dirham (AED). On the other hand, the selling rate is the price at which an exchange company or bank will sell one UAE Dirham to a customer. These rates are pivotal for anyone involved in currency exchange, whether for travel, remittances, or business transactions.
Market Influences
The parity between the UAE Dirham and Pakistani Rupee in the open market is driven by several market forces, chiefly the demand and supply of foreign currency. High demand for UAE Dirhams can drive up the buying rate, reflecting greater value given for the currency. Conversely, an abundant supply of AED can lower the buying rate, as more of the currency becomes available in the market.
Economic Factors
The exchange rates are influenced by a range of economic factors. The UAE is a major destination for Pakistani expatriates, and the remittances they send back home significantly affect the demand for AED. Additionally, bilateral trade between Pakistan and the UAE means that businesses frequently need to exchange large sums of PKR to AED and vice versa. These transactions can sway the market rates, depending on the volume and frequency of currency exchanges.
Role of Financial Institutions
Exchange companies and banks are central to the currency exchange process. They provide the necessary liquidity and facilitate transactions for both individual and corporate clients. These institutions adjust their buying and selling rates based on current market conditions, balancing their currency reserves and responding to customer demands.
Implications for Consumers
For consumers, understanding the buying and selling rates is essential for making informed financial decisions. Whether planning to travel, sending money abroad, or engaging in international business, knowing the current rates helps in budgeting and cost estimation. Consumers are advised to compare rates offered by different exchange companies and banks to secure the best possible deal.
Conclusion
The exchange rates for the UAE Dirham against the Pakistani Rupee as of May 01, 2022, show a buying rate of Rs 49.25 and a selling rate of Rs 49.75. These rates highlight the dynamic nature of currency exchange markets, driven by supply and demand, economic activities, and institutional policies. Staying updated with these rates is crucial for individuals and businesses to navigate the financial landscape effectively, ensuring they make well-informed currency exchange decisions.
