The State Bank of Pakistan (SBP) has released its latest Mark-to-Market (M2M) currency rates for August 15, 2025, showing the Pakistani Rupee (PKR) making modest but broad gains against major global currencies. The update, based on closing interbank exchange rates compiled from brokerage houses and the Reuters Eikon Terminal, provides a key reference point for businesses, investors, and individuals managing cross-border transactions.
Key Highlights
- Saudi Riyal (SAR): Down to PKR 75.1725 from PKR 75.2033, with similar small dips across forward rates. The drop may slightly reduce costs for remittances and pilgrimage travel.
- UAE Dirham (AED): Fell to PKR 76.7955 from PKR 76.8371, potentially lowering expenses for trade and expatriate remittances.
- Kuwaiti Dinar (KWD): Down to PKR 923.3408 from PKR 923.9575, easing high-value transaction costs.
- Canadian Dollar (CAD): Dropped to PKR 204.4669 from PKR 205.0963, benefiting trade and Pakistani expatriates in Canada.
- Qatari Riyal (QAR): Fell to PKR 77.3897 from PKR 77.4338, slightly easing living costs for workers in Qatar.
- US Dollar (USD): Declined to PKR 282.0621 from PKR 282.2228, offering mild relief for importers. In open markets, the USD was quoted at PKR 283.91—slightly above the SBP’s ready rate—highlighting persistent currency shortages.
Other Global Currencies
The Euro, Swiss Franc, Australian Dollar, and Singapore Dollar also recorded declines, while the British Pound (GBP) stood out with a marginal increase to PKR 382.3634
Market Implications
Economists view this across-the-board decline in foreign currency rates as a short-term strengthening of the PKR, which could temporarily lower import bills, overseas education expenses, and travel costs. However, elevated forward rates (6-month to 1-year) suggest markets expect the PKR to weaken again in the medium to long term, reflecting ongoing concerns about Pakistan’s trade deficit and external debt pressures.
Why It Matters
These M2M rates are essential for authorized dealers to revalue their portfolios daily, impacting everything from corporate financial reporting to pricing strategies in trade and investment. For individuals, these fluctuations directly affect remittances, holiday budgets, and foreign tuition payments
