Karachi/Manama, April 28, 2025 – The Bahraini Dinar (BHD) remained stable against the Pakistani Rupee (PKR) today, trading at 745.46 PKR.
The values of currencies are influenced by supply and demand in the foreign exchange market, which is affected by factors such as inflation, interest rates, and trade balances. The economy of Bahrain, strengthened by oil revenues and a fixed exchange rate pegged to the US dollar (2.65 USD), contributes to the dinar’s steadiness.
1 Bahraini Dinar = 745.46 PKR
On the other hand, the Pakistani rupee functions under a managed float system, impacted by market dynamics and interventions from the State Bank of Pakistan. Its value is dependent on exports, remittances, and capital inflows from foreign investments. The recent slight increase in the BHD’s value against the PKR could be attributed to Bahrain’s solid fiscal position or a decrease in demand for PKR.
For the more than 100,000 Pakistani workers residing in Bahrain, who constitute a significant portion of the labor force, this change produces varied effects. A stronger BHD enhances the value of their remittances; for example, the amount of 100 BHD sent home now equals 74,520 PKR, an increase from 74,450 PKR the previous day, which improves their families’ purchasing power in Pakistan. However, those exchanging PKR for BHD are confronted with higher expenses, impacting their spending capabilities in Bahrain’s expensive market.
Since its introduction in 1965, the Bahraini Dinar has established itself as one of the most potent currencies globally, reflecting Bahrain’s economic robustness and its position as a financial center in the Gulf region. The Pakistani Rupee, introduced in 1948, deals with issues of inflation and national debt, but it remains essential to the expanding economy of Pakistan. Although the minor adjustment in the BHD-PKR exchange rate today suggests no significant turmoil, it highlights the interconnectedness of global markets and their immediate impact on expatriates.
As economic challenges continue for both countries, analysts predict ongoing fluctuations, with remittances playing a pivotal role for Pakistani expatriates.
About The Author
