The Saudi Riyal (SAR) strengthened marginally against the Pakistani Rupee in Tuesday’s open-market trading, rising to Rs 74.74, up two paisas from Rs 74.72 recorded on December 19, currency dealers confirmed. The selling rate climbed to Rs 75.31, still below the 2025 high of Rs 76.03 reached on July 28.
Relief for overseas Pakistanis
The modest appreciation brings incremental relief for the 2.7 million Pakistanis working in Saudi Arabia, for whom remittances are a critical financial lifeline. At current rates, 1,000 Saudi Riyals fetch Rs 74,740, around Rs 20 more than last week, helping households meet rising expenses such as school fees, healthcare costs and inflation-pressured grocery bills.
Saudi Arabia continues to be Pakistan’s largest remittance source. In May 2025 alone, inflows from the Kingdom totaled $913 million, pushing 11-month cumulative remittances to a record $34.9 billion, up 28.8 per cent year-on-year, according to State Bank of Pakistan (SBP) data.
Impact on trade and reserves
A firmer riyal slightly increases the rupee cost of Saudi oil and petrochemical imports, but the Kingdom’s dollar-pegged currency still provides predictability for Pakistani refineries and industrial buyers. At the same time, higher remittance-driven dollar inflows continue to bolster Pakistan’s foreign-exchange buffers, which crossed $11 billion in October 2024, supporting the central bank’s efforts to manage inflation and external debt obligations.
SAR–PKR outlook
The Forex Association of Pakistan expects the SAR/PKR pair to trade within the Rs 74.50–75.00 range through year-end, barring sharp swings in the US dollar or unexpected geopolitical developments. Market participants note that even 10–20 paisa movements can influence remittance timing and import decisions, making daily rate monitoring essential for households and businesses alike.
Currency basics
- The Saudi Riyal (SAR) is subdivided into 100 halalas and is fixed at 3.75 to the US dollar
- The Pakistani Rupee (PKR) operates under a managed float regime overseen by the State Bank of Pakistan
