Karachi, March 8, 2026 – The Pakistani rupee is expected to remain relatively stable against the US dollar in the coming week, although external pressures linked to geopolitical tensions and rising global energy prices may keep the local currency under mild strain.
In the interbank market, the rupee closed at around Rs279.4 per dollar at the end of the previous week, reflecting limited volatility as the currency continued to trade within a narrow range.
According to analysts in the foreign exchange market, the rupee is likely to remain range-bound in the short term, provided there are no major shocks to Pakistan’s external accounts. In recent weeks, the currency has shown signs of relative stability despite ongoing macroeconomic challenges facing the economy.
Market participants believe that seasonal inflows of workers’ remittances could help support the local currency. Remittance inflows typically rise during Ramadan and in the weeks leading up to Eid al-Fitr, increasing the supply of US dollars in the domestic market and helping stabilize the exchange rate.
However, the ongoing geopolitical tensions in the Middle East remain a key risk factor for Pakistan’s external sector. Rising tensions have already pushed global oil prices higher, raising concerns about Pakistan’s energy import costs.
As a net importer of petroleum products and liquefied natural gas (LNG), Pakistan remains vulnerable to fluctuations in international energy prices. Analysts warn that sustained increases in oil and LNG prices could widen the country’s trade deficit and increase demand for dollars to finance imports.
Despite these challenges, traders believe the rupee may continue to remain stable in the near term if remittance inflows stay strong and import demand remains controlled. Market participants will also closely monitor developments in global energy markets and regional geopolitical tensions, which could shape the rupee’s direction in the weeks ahead.