The Pakistani rupee is navigating a period of relative stabilization amidst significant domestic economic adjustments.
As of February 16, 2026, the currency remains under close observation following the government’s recent hike in fuel prices, which is expected to influence near-term inflationary trends.
Interbank Rates
The weighted average exchange rate for the US Dollar (USD) was recently recorded at a bid of 279.34 and an offer of 279.77.
Open Market
In the open market, major currencies are trading at the following rates:
The State Bank of Pakistan (SBP) has maintained the policy rate at 10.5%. Projections for fiscal year 2026 suggest GDP growth between 3.75% and 4.75%, with FX reserves targeted to reach $18 billion by June 2026.
International Market Highlights
Globally, the foreign exchange market experienced notable shifts over the past week.
Weakened US Dollar: The US Dollar Index (DXY) faced downward pressure after US retail sales data came in lower than expected, leading markets to price in three interest rate cuts by the Fed during 2026.
Surging Japanese Yen: The Yen emerged as the strongest major currency, driven by high demand following a landslide election win in Japan and expectations of imminent rate hikes by the Bank of Japan.
Gold & Oil
Currency movements continue to be influenced by shifting commodity prices.
Prices remain high due to currency pressure and global trends, with 24K gold trading around PKR 45,011 per gram in Pakistan and global spot gold near $4,935 per ounce.
International crude oil trends, alongside exchange rate volatility, were cited as key factors in the recent PKR 5.00 increase in local petrol prices and PKR 7.32 hike in diesel.
