The USD to PKR exchange rate is one of the most important financial indicators for Pakistan’s economy. The US Dollar (USD) is the world’s primary reserve currency and is widely used in international trade, foreign reserves, oil pricing, and global transactions. Any change in the dollar rate directly impacts Pakistan’s imports, exports, inflation, fuel prices, and overall economic stability.
As of 12 February 2026, the US Dollar is trading around 281 PKR in the interbank market. Exchange rates may slightly vary in the open market depending on demand and supply conditions.
This article provides a complete overview of the USD to PKR rate, historical trends, influencing factors, conversion tables, and practical financial insights.
Current USD to PKR Exchange Rate (2026)
The interbank market reflects the official trading rate between banks. The open market rate is usually slightly higher.
Interbank Rate
Approximately 281 PKR per USD
Open Market Rate (Estimated Range)
282 – 285 PKR per USD
Even a difference of 1–2 rupees can significantly impact large transactions such as business imports or overseas remittances.
Quick Conversion Table (USD to PKR)
| USD | PKR Equivalent |
|---|---|
| 1 | 281 |
| 5 | 1,406 |
| 10 | 2,812 |
| 50 | 14,064 |
| 100 | 28,128 |
| 500 | 140,640 |
| 1000 | 281,280 |
| 5000 | 1,406,400 |
This table provides a simple estimation for conversions based on the current average rate.
Why USD to PKR Rate is So Important
1. Imports and Fuel Prices
Pakistan imports oil, machinery, electronics, and many industrial goods in US Dollars. When the dollar strengthens against the rupee:
- Import costs increase
- Fuel prices rise
- Inflation may increase
2. Remittances
Overseas Pakistanis send billions of dollars every year. When USD increases:
- Families in Pakistan receive more rupees
- Purchasing power improves locally
3. Foreign Debt Payments
Pakistan’s external loans are mostly dollar-denominated. A stronger dollar increases debt repayment burden.
4. Business and Investment
Companies involved in international trade constantly monitor USD to PKR rates to manage profit margins and pricing strategies.
Historical Trend of USD to PKR
The USD to PKR exchange rate has experienced significant fluctuations over the past few years.
| Period | Average Rate |
|---|---|
| Early 2024 | 260 – 270 |
| Late 2024 | 270 – 285 |
| Mid 2025 | 275 – 290 |
| Early 2026 | Around 281 |
The Pakistani Rupee has faced depreciation pressures due to inflation, trade deficit, and foreign reserve challenges. However, recent monetary controls and remittance inflows have helped stabilize the rate within a specific range.
Factors Affecting USD to PKR Exchange Rate
Several economic and global factors influence this currency pair.
Inflation Rate
Higher inflation in Pakistan weakens the rupee. If inflation rises faster than in the US, PKR may depreciate.
Foreign Exchange Reserves
Strong reserves maintained by the State Bank of Pakistan help stabilize the currency.
Trade Deficit
When imports exceed exports, demand for dollars increases, weakening PKR.
Interest Rates
Higher interest rates can attract foreign investment, strengthening the rupee.
Political Stability
Stable governance builds investor confidence, which positively affects currency value.
Global Dollar Strength
If the US Federal Reserve strengthens monetary policy, the dollar becomes stronger globally, affecting emerging market currencies like PKR.
Practical Example Calculation
If someone wants to convert 2,000 USD into PKR:
2,000 × 281 = 562,000 PKR (approximately)
However, open market or remittance service charges may slightly adjust the final received amount.
Interbank vs Open Market Difference
| Feature | Interbank | Open Market |
|---|---|---|
| Used By | Banks | Exchange Companies |
| Rate | Slightly Lower | Slightly Higher |
| Spread | Minimal | Includes Profit Margin |
| Best For | Large Transfers | Cash Exchange |
For large business payments, interbank transfers are usually more beneficial. For travel cash needs, open market exchanges are commonly used.
Economic Outlook for 2026
Financial analysts expect moderate stability in the USD to PKR rate during 2026, provided:
- Inflation remains controlled
- Foreign reserves improve
- Export growth continues
- IMF or international financial agreements remain stable
However, global oil prices, geopolitical tensions, and US monetary policy could still cause short-term volatility.
Tips to Get the Best Exchange Rate
Compare exchange companies before converting currency.
Avoid airport exchange counters due to higher margins.
Monitor daily trends and convert when the rate is favorable.
Use formal banking channels for large transfers.
Stay updated with central bank announcements and financial news.
Conclusion
The USD to PKR exchange rate is a crucial economic indicator affecting imports, exports, remittances, debt payments, and overall financial stability in Pakistan. As of February 2026, the dollar is trading around 281 PKR in the interbank market.
Understanding how exchange rates work and what influences them allows individuals and businesses to make smarter financial decisions. Whether you are a traveler, importer, freelancer, student, or investor, staying updated on the latest USD to PKR rate is essential for effective financial planning.
