Pakistan’s Real Effective Exchange Rate (REER) rose to a seven-year high of 105.80 in April 2026, compared to 104.29 in March 2026, according to market data released by the State Bank of Pakistan figures and Topline Research.
REER is a measure of the rupee’s strength against the currencies of Pakistan’s major trading partners after adjusting for inflation differences.
A REER above 100 indicates a loss in trade competitiveness with exports becoming more expensive and imports getting cheaper, while a REER below 100 means the country’s exports are competitive.
When the REER moves above 100, it generally suggests that the rupee is becoming relatively overvalued compared to peer countries.
The latest reading suggests the rupee’s inflation-adjusted value is now nearly 6 percent stronger than the base benchmark.
The data shows Pakistan’s Real Effective Exchange Rate steadily climbing over the past two years after touching lows near 86 in early 2023. In April 2026, the REER reached 105.8, its highest level since 2018 and above the 10 year average of 102.68.
A rising REER can have mixed economic effects. While it may help reduce imported inflation, it can also weaken export competitiveness and widen external account pressures.
We have said this before: Rising REER can be a double-edged sword. It can help contain imported inflation, especially for commodities like oil, machinery, and food inputs but it can also hurt Pakistan’s export competitiveness and current account sustainability if the gap remains elevated for too long.
Who cares what happened to the economy as long as they can show PKR appreciating everyday. It’s our daily headline news and you want the people to be deprived of fantasy.
We are talking about a country that imports 70% of absolute essentials like oil and electronics. Rupee is undervalued as per REER. Such articles are written by either amateurs or paid articles by the so called export policy (scrap sellers and textile yarn sellers w zero value addition).
Extreme stupid article. Pak rupee is far more devalued currency as compared to INR and Bangladesh Taka. Let’s the poor people alive. How india, Malaysia and Thailand economies survive with strong currency??
The writer needs to learn Macroeconomics. Appreciation of currency is a strength not weakness.
So why is China currency not higher
Our exporters need to work on value additions while govt needs to make right policies for them. Rupee value is not a primary factor for lower exports.
Only my access
For just 25% export you cant devalue your currency and that too for the elites. We want our currency to be strong with reduced inflation so the manufacturing cost will be less and exporters can cope. Just with a value appreciation 0.3% you people are crying. Thats a shame. And with all the devaluation in the past what have exporters achieved? Nothing
Clickbait! In this day and age? You must be an ameture or ametures… Stay hidden in your bedroom, the sunlight doesn’t suit you, how would you know what the value of anything is, not like you leave to buy a packet of biscuits even…stay hid!
You are a traitor nothing more than that, people like you who don’t even know the basics of the economy are giving such ideasa to ruin the public interest and ruin the life and economy of the country man, who planted you to place these logics, this is the biggest traitor ship,how much is your exports and how much is the imports? Pakistan is an import driven country, how you can even compare them, when your exports are at the lowest level not because of Rs but because of the F.o.h, electricity expensive, gas expensives, taxes 45%, law n order zero.
Deprecating rupee has never improved Pakistani exports.
Rupee was devalued extremly unrealistically falling like anything of its value it should be considered at its par value against USD only when it comes back at the same conversion rate against Indian rupee what it was in 2021