Kuwait City/Karachi – 30 May 2025 – The exchange rate of the Kuwaiti Dinar (KWD) against the Pakistani Rupee (PKR) has remained constant at 913.99 PKR, based on open market sources.
This slight fluctuation in the exchange rate has provoked discussion among analysts and traders on the possible drivers for its valuation and the possible impact on trade and remittances between the two nations.
One Kuwaiti Dinar is equivalent to 913.99 Pakistani Rupees
Knowing the KWD-PKR Exchange Rate
The exchange rate for the KWD versus the PKR is a function of both economic and market forces. The Kuwaiti Dinar, which is among the strongest currencies in the world, is pegged to a basket of currencies and not permitted to float, thus having some stability. The Central Bank of Kuwait keeps it pegged in order to give a stable value for the currency against leading world currencies.
On the other hand, the Pakistani Rupee is floated, in which its price is set by demand and supply in the foreign exchange market but with periodic intervention of the State Bank of Pakistan to stabilize it. Foreign exchange reserves, trade balances, inflation levels, and interest rate differentials between Kuwait and Pakistan affect the KWD-PKR exchange rate heavily.
The minor decline of the Kuwaiti Dinar to 913.99 PKR from 916 yesterday reflects minor changes in market sentiment, which is a result of changes in Pakistan’s foreign exchange reserves or fluctuations in Pakistani demand for the dinar. Traders have noted that minor fluctuations such as this are unavoidable and are prone to consolidate quickly given Kuwait’s robust economic fundamentals.
Implications for Trade and Remittances
The slight depreciation of the KWD against the PKR influences the economy of Kuwait-Pakistan transactions. Remittances are one of the pillars of Pakistan’s economy, and there is a large population of Pakistani expats in Kuwait. A weaker KWD means that Pakistani workers in Kuwait might experience a slight reduction in the value of their remittances when converted to PKR. For instance, a monthly 100 KWD remittance that was once worth 91,600 PKR can now be exchanged for 91,399 PKR—a minor variation that could prove significant in the long run for those who rely on such remittances.
With regard to bilateral trade, the impact will be minimal due to the limited nature of the fall. Kuwait exports oil products to Pakistan and imports textiles, agro-products, and services from labor from Pakistan. A stable exchange rate ensures a consistent cost of trade, and analysts opine that the current rate of 913.99 PKR is not likely to trigger any significant disturbance in trade patterns.
Summary of KWD and PKR
The Kuwaiti Dinar (KWD) is the official currency of Kuwait, introduced in 1961 as a substitute for the Gulf Rupee. With its premium value, the KWD is backed by the substantial oil reserves and stable economic policies of Kuwait and is one of the world’s most respected currencies.
The Pakistani Rupee (PKR), established in 1948, is the official currency of Pakistan. Its value depends on the economy of the nation, foreign reserves, and foreign market dynamics. Despite incessant volatility, the PKR continues to be a significant medium of Pakistan’s economy, supported by exports and remittances.
When the exchange rate of KWD-PKR becomes stable, market players will watch the economies of both nations to forecast future directions.
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