Understanding Interbank Currency Exchange Rate in Pakistan

In Pakistan, the interbank currency exchange rate is set by the banks themselves, not by the government. This rate is typically higher than the open market rate, which is the rate at which currency is exchanged between individuals.

The interbank exchange rate is based on supply and demand in the market, with banks buying and selling currencies to meet the needs of their clients. The rate is also influenced by the balance of trade between countries.

The State Bank of Pakistan (SBP) regulates the interbank market, ensuring that banks operate fairly and transparently. The SBP also provides guidance on exchange rates, but ultimately, the rate is determined by market forces.

The interbank exchange rate is used by banks to settle transactions with each other, and it's also the rate at which banks sell currency to their customers.

The Pakistani rupee has been experiencing some fluctuations in the interbank market. The rupee depreciated by one paisa against the US dollar on Monday, closing at Rs278.47 against the previous day's closing of Rs278.46.

The interbank rates for currency conversion are available, with the USD being exchanged at 279.427 PKR, GBP at 351.938 PKR, EUR at 291.47 PKR, and JPY at 1.8605 PKR.

The buying and selling rates of the dollar in the open market stood at Rs278.05 and Rs279.55 respectively, according to the Forex Association of Pakistan.

The exchange rate of the Emirates Dirham remained unchanged at Rs75.81, while the Saudi Riyal went up by one paisa and closed at Rs74.16.

Here's a summary of the current interbank rates for some major currencies: