KARACHI: In a positive development for Pakistan’s economy, BMI, a subsidiary of global research firm Fitch, has withdrawn its earlier forecast that the Pakistani rupee would weaken against the US dollar in 2026.
Economic analysts have revised their previous projection for the rupee’s depreciation and withdrawn their earlier forecast that the US dollar could reach Rs288 by the end of 2026.
According to BMI’s latest report, the Pakistani rupee is now expected to remain relatively stable at around Rs278 per US dollar during 2026. The report noted that elevated interest rates are likely to help support the rupee and maintain stability in the exchange rate.
Pakistan’s foreign exchange reserves also showed improvement, reaching $17.1 billion by the end of August. The country additionally raised $3 billion through a Eurobond issued on September 3.
BMI said Pakistan’s improved access to international financial markets could lead to a further increase in the country’s foreign exchange reserves.
The revised outlook reflects a more stable assessment of Pakistan’s external financial position and suggests that the rupee may face less depreciation pressure than previously anticipated in 2026.
