Currency market calm as rupee steadies, dollar down by 3 paisas

KARACHI: The US dollar saw a slight decline against the Pakistani rupee in the interbank market on Friday.

According to the State Bank of Pakistan, the dollar closed at Rs280.82, down 3 paisas from the previous day. However, the open market witnessed only minor fluctuations in exchange rates.

Currency dealers said that the modest decline in the dollar’s value was due to sluggish business activity and reduced import demand.

They said that an increase in foreign exchange reserves and administrative measures by the central bank also contributed to the rupee’s relative stability.

Economic experts noted that in the coming days, the dollar’s value will depend on global market trends, crude oil prices, and external debt repayments.

Analysts expressed cautious optimism, saying the rupee could continue to strengthen gradually if the growth in remittances remains steady.

Meanwhile, Pakistan received $3.4 billion in remittances from overseas workers in October 2025, marking a nearly 12 per cent increase compared to the same month last year, the SBP reported on Friday.

Monthly inflows also rose by more than 7 per cent from September, when remittances stood at $3.2 billion.During the first four months of the fiscal year, remittances reached $12.9 billion, up from $11.9 billion in the same period last year, reflecting a 9.3 per cent growth.

Analysts say these funds continue to play a crucial role in supporting Pakistan’s external account, stimulating economic activity, and supplementing household incomes, particularly for families dependent on money sent from abroad.

Prime Minister Shehbaz Sharif expressed appreciation for the contribution of overseas Pakistanis. “The gradual rise in remittances shows the confidence of our expatriates in government policies,” he said, adding that they are among the country’s most valuable assets.