KARACHI/DUBAI: As of April 17, 2025, the UAE Dirham (AED) against the Pakistani Rupee (PKR) exchange rate is stable at an open market rate of 76.37 PKR.
This is indicative of consistent fluctuations in the foreign exchange market, influenced by local economic factors and trends in international trade, offering a positive rate for Pakistanis remitting money from the UAE.
1 UAE DIRHAM IS EQUIVALENT TO 76.37 PAKISTANI RUPEES.
The value of the AED against PKR is affected by a host of factors. The UAE Dirham, being pegged against the US Dollar at around 3.67 AED for every USD, enjoys a sound oil-driven economy and prudent fiscal policies in the UAE.
This peg guarantees that the value of the Dirham is in accordance with the overall performance of the US Dollar across the world. Conversely, the Pakistani Rupee is under a managed float regime, and its value is determined by supply and demand in the market and by intervention from the State Bank of Pakistan. Factors like remittance inflows, trade balances, and local inflation significantly affect the PKR’s strength. The prevailing rate of 76.37 PKR per AED reflects an increase in the Dirham value, possibly from increasing remittances or an improvement in the economic climate in Pakistan.
Analysts note the important economic connection the UAE enjoys with Pakistan since millions of Pakistani workers based in the UAE remit significant amounts of money to their homeland—about $3.1 billion in February 2025, based on the State Bank of Pakistan. These flows usually raise demand for the UAE Dirham in Pakistan, affecting its exchange rate.
The UAE Dirham is the official currency of the United Arab Emirates, a federation of seven emirates that comprises Dubai and Abu Dhabi. It was introduced in 1973 to replace the Qatar and Dubai Riyal and is abbreviated as AED.
The Pakistani Rupee, abbreviated as PKR or “Rs,” has been Pakistan’s currency since independence in 1947. Whereas the Dirham’s strength comes from the strong economy of the UAE, the Rupee’s value is indicative of the larger economic opportunities and challenges in Pakistan. The dynamic between these currencies illustrates the close economic ties between the UAE and Pakistan.
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