The Pakistani rupee continued its positive momentum on Friday, gaining 17 paisas in the inter-bank market. The US dollar was being traded at Rs282.70, compared to Thursday’s closing rate of Rs282.87. This rise marks another day of improvement for the local currency as it maintains a steady upward trend.
This consistent gain in the rupee comes despite global financial uncertainties. Internationally, the US dollar strengthened against several major currencies and is on track for its best weekly performance in nearly three years. The strength is mainly due to new tariff announcements by US President Donald Trump targeting multiple trading partners.
One major move included a sharp 39% tariff on Swiss imports, which boosted the US dollar’s position against the Swiss franc. Similarly, Canada faced a 35% import levy, causing its currency to slip to a two-month low. These aggressive trade policies have reshaped currency values around the world.
Moreover, the Japanese yen dropped to a four-month low after the Bank of Japan signaled no rush to raise interest rates. This further fueled demand for the US dollar, strengthening it globally while also influencing regional currency markets, including Pakistan’s.
In addition, the euro remained near a two-month low as markets reacted to what they believe is an unbalanced trade agreement with Washington. The weakened euro is yet another factor playing into the global currency reshuffle seen this week.
Although the US dollar is gaining ground globally, the Pakistani rupee’s performance against it suggests local factors are also helping stabilize and strengthen the currency. Analysts say consistent remittances, controlled imports, and better forex management may be behind this sustained recovery.