Rupee Extends Winning Streak to 63 Days Against US Dollar

Pakistani Rupee Continues Historic Stability Against Dollar

The Pakistani Rupee (PKR) has extended its remarkable winning streak against the US Dollar (USD) to 63 consecutive days, signaling improved currency stability and renewed confidence in Pakistan’s foreign exchange market. On Friday, December 19, 2025, the rupee closed at Rs 280.25, gaining one paisa against the dollar in the interbank market.

This sustained performance is one of the longest periods of stability the rupee has witnessed in recent years. While the gain against the dollar was marginal, the consistency of the trend has drawn attention from economists, traders, and investors across Pakistan.

However, despite strengthening against the US Dollar, the rupee lost ground against several other major international currencies, reflecting broader global currency movements.

PKR vs USD: Why the Rupee Is Holding Strong

The rupee’s 63-day winning streak against the dollar is not accidental. Several economic and policy-level factors are supporting this stability.

1. Improved Foreign Exchange Inflows

Pakistan has recently experienced better foreign inflows due to:

• Export proceeds settling on time
• Workers’ remittances showing resilience
• Controlled import payments

These inflows help maintain a steady supply of dollars in the interbank market.

2. Tighter Monitoring by SBP

The State Bank of Pakistan (SBP) has strengthened its monitoring of the foreign exchange market. Crackdowns on illegal dollar trading, hawala, and speculative activity have reduced artificial demand for USD.

3. Market Confidence & Reduced Panic Buying

Unlike previous years, businesses and individuals are no longer rushing to hoard dollars. This improved confidence has helped keep the exchange rate stable.

Interbank Closing Rate: December 19, 2025

On Friday, the rupee closed at:

• PKR 280.25 per USD
• Gain: 0.0095 paisa

Although the movement was small, maintaining a positive close for 63 straight sessions is a strong psychological and economic signal.

PKR Performance Against Major Currencies

While the rupee gained against the dollar, it showed mixed performance against other global currencies in the interbank market.

Currency-Wise Performance Summary

Euro (EUR)

• Rupee weakened against the euro
• European currency volatility affected PKR

British Pound (GBP)

• PKR lost marginally against the pound
• GBP closed higher due to global market strength

Australian Dollar (AUD)

• Slight improvement in PKR’s position
• Movement remained largely stable

Malaysian Ringgit (MYR)

• PKR weakened notably
• Regional Asian currency shifts impacted rates

Chinese Yuan (CNY)

• Minor depreciation of PKR
• Trade settlement flows influenced movement

Canadian Dollar (CAD)

• Major gain of 24 paisas
• Best PKR performance among major currencies

UAE Dirham (AED)

• PKR ended slightly positive
• Dirham remains closely linked to USD

Saudi Riyal (SAR)

• Rupee ended marginally negative
• Pegged currency limits major fluctuation

Why Rupee Fell Against Some Currencies Despite USD Gains

Many readers ask why the rupee can strengthen against the dollar but weaken against others. The answer lies in global currency dynamics.

• The US Dollar Index weakened globally
• European and British currencies strengthened due to interest-rate expectations
• Commodity-linked currencies like CAD moved independently
• Regional trade balances affected Asian currencies

This means PKR performance varies depending on bilateral currency demand, not just domestic strength.

Impact of Rupee Stability on Pakistan’s Economy

1. Import Costs Under Control

A stable rupee helps keep fuel, machinery, medicines, and food imports from becoming more expensive, easing inflationary pressure.

2. Inflation Containment

With a stable dollar rate, imported inflation slows down. This benefits:

• Household budgets
• Transport costs
• Utility pricing

3. Improved Business Planning

Businesses can plan imports and pricing with more certainty, reducing financial risk.

4. Boost to Investor Confidence

A stable exchange rate signals macroeconomic discipline, attracting both local and foreign investors.

Challenges Still Facing the Pakistani Rupee

Despite the positive trend, challenges remain:

• High external debt obligations
• Dependence on IMF support
• Global oil price fluctuations
• Political uncertainty

Any shock to remittances, exports, or energy prices could pressure the rupee again.

Can the Rupee Maintain This Streak?

Analysts believe the rupee can remain stable in the short term if:

• SBP continues strict oversight
• Imports stay aligned with actual demand
• Remittances remain strong
• External financing remains on track

However, long-term stability depends on structural reforms, export growth, and fiscal discipline.

What This Means for the Common Citizen

For ordinary Pakistanis, a stable rupee means:

• Slower price increases
• Stable fuel and transport costs
• Predictable exchange rates for travel and education
• More confidence in savings

While one paisa may seem small, 63 days of consistency make a big difference.

Outlook for PKR in Early 2026

Looking ahead to early 2026, experts expect:

• Range-bound movement against USD
• Slight volatility against euro and pound
• Stability against AED and SAR
• Continued monitoring by regulators

If reforms continue, the rupee could avoid sharp devaluations seen in previous years.

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