The Saudi Riyal (SAR) exchange rate remained unchanged against the Pakistani Rupee (PKR) in the open market, standing at Rs74.70 on Friday, March 21, 2025.
The selling rate also remained steady, with exchange companies offering 1 SAR for Rs75.10, according to the Forex Association of Pakistan.
As the official currency of Saudi Arabia, the Riyal is abbreviated as SAR or SR and is further divided into 100 halalas. The exchange rate of a currency is influenced by multiple factors, reflecting its strength compared to other currencies.
One of the primary determinants of exchange rates is the basic law of supply and demand. If the demand for a currency increases, its value rises; conversely, if demand falls, its value weakens.
The foreign exchange (Forex) market, which is the world's largest and most liquid financial market, also plays a crucial role, as currency prices fluctuate based on trading volume and investor sentiment.
Inflation rates are another key factor, as lower inflation generally leads to stronger purchasing power, while higher inflation exerts pressure on a currency. Other contributing factors include political stability, economic performance, trade balance, and central bank policies.
Pakistan received $3.1 billion in remittances from overseas workers in February 2025, reflecting a 3.8% increase from January 2025, according to the State Bank of Pakistan (SBP).
On a yearly basis, remittances surged by 38.6%, compared to $2.25 billion recorded in February 2024.
