The interbank USD rate refers to the exchange rate at which banks buy and sell US dollars among themselves. On May 5th, it was at PKR 278.55 for buying and PKR 278.80 for selling.
The open market USD rate, on the other hand, is the rate at which individuals and businesses buy and sell US dollars outside of the banking system. On May 5th, it was at PKR 277.25 for buying and PKR 280.00 for selling.
Typically, the interbank rate is slightly lower than the open market rate due to various factors, including interbank transactions being conducted in larger volumes and with lower overhead costs compared to retail transactions in the open market.
Table of Dollar Rates in Pakistan
| Date | Interbank USD Rate (PKR) | Open Market USD Rate (PKR) |
|---|---|---|
| 05 May 24 | Buying: 278.55 | Buying: 277.25 |
| Selling: 278.80 | Selling: 280.00 |
This table shows the buying and selling rates for US dollars on May 5th, 2024, both in the interbank market and the open market in Pakistan.
Table of Different Currency Rates
| Currency | Symbol | Rate | Inverse |
|---|---|---|---|
| China Yuan | CNY | 0.0258 | 38.81 |
| Euro | EUR | 0.0033 | 298.65 |
| Japanese Yen | JPY | 0.5025 | 1.99 |
| Saudi Riyal | SAR | 0.0135 | 74 |
| U.A.E Dirham | AED | 0.0132 | 75.85 |
What Effects Dollar Rate
The value of the US Dollar in Pakistan can be affected by various things:
- How well the economy is doing: If Pakistan’s economy is growing and things like prices and unemployment are stable, the Pakistani Rupee tends to be stronger against the US Dollar.
- Interest rates: When Pakistan’s central bank changes interest rates, it can make the Pakistani Rupee stronger or weaker. Higher interest rates usually make the Rupee stronger because they attract more foreign investors.
- Political situation: If there’s uncertainty or unrest in Pakistan’s government, it can make the Rupee weaker because investors might worry about the country’s stability.
- World events: What’s happening in other countries, especially big ones like the US, can affect the Rupee’s value. Things like trade disputes or big economic changes in the US can impact how much the Rupee is worth.
- How much Pakistan buys and sells with other countries: If Pakistan is buying more from other countries than it’s selling, it might need more US Dollars to pay for those imports. This can put pressure on the Rupee.
- How much foreign money Pakistan has saved: Pakistan’s foreign money reserves, especially US Dollars, can affect the Rupee’s value. If there’s a lot saved up, it can help keep the Rupee stable.
- People’s feelings about the future: Sometimes, just how people feel about what might happen in the future can affect the value of the Rupee. If investors are worried, they might sell Rupees, making it weaker. If they’re optimistic, they might buy more Rupees, making it stronger.
Dollar Rate Effect on Economy
- Buying Stuff from Other Countries: If the US Dollar gets stronger compared to the Pakistani Rupee, it means things from other countries become cheaper for us to buy. But it also means stuff we sell to other countries might become more expensive for them.
- Prices Going Up: When the Rupee gets weaker against the Dollar, things we buy from other countries can become more expensive. This can make the prices of goods in Pakistan go up, which is called inflation.
- Paying Back Loans: If Pakistan has borrowed money from other countries in US Dollars, a weaker Rupee means it takes more Rupees to pay back those loans. So, it can make our debt burden heavier.
- Attracting Investors: When the Rupee is strong, foreign investors might be more interested in putting money into Pakistan. But if the Rupee is weak, they might worry about losing money because of currency changes.
- Money from Overseas: Many Pakistanis working abroad send money back home. If the Rupee gets weaker, that money might be worth less when converted to Rupees, affecting the buying power of families receiving it.
- More Tourists: If the Rupee is weaker, it can make Pakistan a cheaper destination for tourists from countries with stronger currencies, potentially bringing in more visitors and money.
- Government’s Role: The government’s bank, the State Bank of Pakistan, can try to help stabilize the economy by adjusting things like interest rates or buying and selling foreign currency to control how much the Rupee is worth.
Dollar Rate in this Month
| Date | Buying (PKR) | Selling (PKR) |
|---|---|---|
| Today | 278.55 | 278.80 |
| 05 May, 24 | 278.55 | 278.80 |
| 04 May, 24 | 278.55 | 278.80 |
| 03 May, 24 | 278.30 | 278.50 |
| 02 May, 24 | 278.40 | 278.60 |
| 01 May, 24 | 278.40 | 278.60 |
These are the buying and selling rates for US dollars in the interbank market in this month.
FAQs
- What is the Dollar rate today in Pakistan?
The current Dollar rate in Pakistan is PKR 278.55 as per the interbank rate. - What is the dollar rate in Pakistan today’s open market?
The dollar rate in the Pakistan open market today stands at PKR 277.25 which may vary from the Interbank rate.