Karachi, August 1, 2025 – The Pakistani rupee continued its upward trend against the dollar for the eighth straight session on Friday, boosted by a strong crackdown on illegal currency trade.
The rupee gained 15 paisas, closing at PKR 282.72 against the dollar, compared to the previous day’s rate of PKR 282.87 in interbank trading.
Since July 22, the rupee has appreciated by a total of PKR 2.25, up from PKR 284.97, marking a noticeable recovery in the exchange rate market.
Currency experts credited this appreciation to intensified action by the government and the State Bank of Pakistan (SBP) against unauthorized currency dealings. Despite a recent drop in the country’s foreign exchange reserves, market sentiment surrounding the rupee has remained positive.
During the week ending July 25, Pakistan’s total liquid foreign exchange reserves fell by $311 million, reaching $19.607 billion, down from $19.918 billion a week earlier. SBP-held reserves declined by $153 million to $14.304 billion, while commercial banks’ reserves dropped by $158 million to $5.303 billion.
However, a recent trade agreement with the United States has injected optimism into the market. In addition, record remittances—$38.3 billion in FY 2024–25, up 26.6% year-on-year—have helped cushion the rupee against external pressures.
Moreover, the Pakistan Bureau of Statistics reported a 9.47% decline in the trade deficit for June, driven by stronger exports and tighter import controls. These developments, analysts say, reflect improving macroeconomic conditions and growing investor confidence in the rupee-dollar exchange outlook.