Dubai, July 8, 2025 – The exchange rate for the UAE Dirham (AED) reached 77.39 Pakistani Rupees (PKR) as of 6:19 PM PST today, reflecting a modest increase of 0.08 PKR compared to yesterday’s rate of 77.31 PKR.
This minor uptick builds on the Dirham’s solid performance in June, when it appreciated by 0.81 PKR—rising from 76.44 at the beginning of the month to 77.25 by month’s end. The Dirham’s steady growth mirrors the UAE’s effective economic strategies and its reputation as a key global financial center.
Current Rate: 1 UAE Dirham = 77.39 Pakistani Rupees
The UAE’s economic strength is underpinned by a proactive shift away from oil reliance, with major investments in innovation, green energy, tourism, and trade. Supported by disciplined fiscal policies and world-class infrastructure, the country has become a magnet for international investors. The Dirham, which maintains a fixed peg to the US Dollar, provides a stable foundation for cross-border commerce and financial stability in the region.
Today’s gain in the AED-PKR rate holds significance for the economic relationship between Pakistan and the UAE. For the large Pakistani workforce in the UAE, the stronger Dirham means greater remittance value. In May 2025 alone, remittances from the UAE to Pakistan totaled $754.2 million, placing the UAE as the second-largest remittance source for Pakistan, just after Saudi Arabia.
On the flip side, the rising rate may pressure Pakistani importers, as goods and services from the UAE become more expensive. This could impact businesses and consumers who rely on imports ranging from everyday items to high-end products. Since the Dirham is tied to the US Dollar, the appreciation could also complicate Pakistan’s debt servicing and widen its trade imbalance. Policymakers in Pakistan might need to respond by improving export performance and shoring up the Rupee’s value to mitigate these challenges.
The UAE Dirham, established in 1973, is pegged at 3.6725 AED per USD, ensuring consistent international value. In contrast, the Pakistani Rupee, adopted in 1948, floats freely and is influenced by domestic and global economic factors.
