KARACHI- August 3, 2026: The State Bank of Pakistan (SBP) released its Mark-to-Market Currency Rates for Monday and Pakistani rupee opened the new month slightly weaker against US Dollar (USD) which was quoted at 277.7732 on interbank/ready market compare with 277.8036 on 31st July.
The Saudi Riyal strengthened from Rs73.9843 to 73.9683, and UAE Dirham appreciated from 75.6422 to 75.6339 PKR,The Canadian Dollar dropped back from 198.1481 to 197.8512 PKR, a 30-paisa correction for the rupee.
The British Pound (GBP) rose from 373.4513 to 373.6883 — a nearly 24 paisa jump and extended the gains from lows touched at the end of July. The Bahraini Dinar and Omani Riyal held relatively steady with gains seen against the rupee, quoted at 737.7012 for the Dinar and Omani Riyal at 721.4607 PKR.
The forward curve continues to reflect a gradual depreciation story, although nothing spectacular, The 1-month dollar forward quoted at 279.2951 implying that 52 paisas of weakness is being priced into the market over the next thirty days.
The 3- and 6-month forwards quoted at 282.0024 and 284.6935 show a similar gentle upward trend in the forward curve, mirroring what was seen throughout the month of July, with the 1-year showing dollar weakness priced at 292.1501, an annualized rate of approximately 5.2% above the current spot. This suggests that the market is in a more settled state with regard to expected exchange rate movements.
The rise in the price of the pound towards 373.70 will be disappointing for some segment of Pakistani middle class,
Students and those paying fee for the study abroad in the UK and families sending patients for medical treatment have to face the currency which has turned back about half of its loses encountered between July 17 th and 31 st,–The 1-year GBP forward quoted at 392.9799, implying 5.1% annually depreciation of rupee against the pound,A student taking child to university to have $15,000 expenses for tuition. Their expense is now 5.61 million rupees, compared with 5.60 million three days earlier, It is not a substantial movement but enough to reverse that short relief which came at the end of July,
The slight adjustment in the price of dollar-rupee by 30 paisa to 197.85 is good news for importers,The dropping price of dollar-rupee to just below 198 has removed some concerns raised at end July concerning the increase in cost of importing commodities such as pulse, legumes and agriculture machineries from Canada,The 1 year CAD forward is quoted at 211.4241, suggesting that the market prices in a steeper depreciation trend for the rupee against the dollar as against the dollar- rupee spot value- this suggests the market expects Canadian’s resilient economic performance to keep the currency under pressure against the greenback or sustained Pakistani demand will keep the cross under pressure.
The Turkish Lira quoted at 5.8433 PKR in the spot market, provides a basis to compare the economic scenarios between the two neighbours–Turkey has faced a steep decline in value and is also struggling high inflation and large current account deficit just like Pakistan has faced many times in the past- the market is currently pricing in about 32% rupee appreciation on a 1-year basis compared to Turkish currency and it could also benefit Pakistani textile exporters against Turkish competitors in European market as it makes products cheaper relative to Pakistani ones—
The Indian Rupee (INR) quoted at 2.9134 in the spot market while the Chinese Yuan (CNY) is quoted at 41.1348 in the ready market it represents a significant figure for an importer and the country’s biggest trading partner.
The stability of the Yuan against the dollar and also against the Pak Rupee to some extent has helped keep imports costly but manageabl–The 1-year CNY forward, quoted at 44.4568, forecasts a deeper depreciation of rupee against Yuan than dollar- a trend that will further increase costs for those businesses which are importing equipment from Chinese manufacturers or buying electronics manufactured there, As CPEC continues to bring much of the hardware from China and manufacturers continue to increase supply of consumer goods from that country the cost of these item might appear higher for the people of Pakistan in time to come.