How currency conversion works
An exchange rate tells you how much of one currency a unit of another buys. This tool converts through US dollars: it divides your amount by the rate of the currency you hold and multiplies by the rate of the currency you want. The result is the mid-market rate, which sits between what buyers pay and sellers receive.
Why your bank or exchange gives a different rate
In Pakistan there are usually three different numbers: the interbank rate, the open-market (kerb) rate quoted by exchange companies, and the rate your bank or remittance provider applies after its margin. For large conversions or foreign income, ask for the all-in amount you will receive, including fees, before you send.
Using the converter
- Type the amount.
- Choose the currency you have and the one you want.
- Use Swap to reverse the direction. The table below shows common currencies in rupees.
Freelancers can pair this with the invoice generator to quote clients in their own currency.
Worked example
If the reference rate is 1 USD = 280 PKR (an example number, not today's rate), then 500 USD converts to 140,000 PKR. A bank that gives 277 PKR per dollar and charges a flat fee of Rs 1,500 would give you 138,500 - 1,500 = Rs 137,000, so the real cost of the transfer is about 3,000 rupees, or 2.1%. Always compare the amount you receive, not just the rate.
Ways to get a better deal
- Compare at least three providers: banks, licensed exchange companies and remittance apps.
- Ask for the total in rupees, including fees, before confirming.
- For remittances, use licensed channels, which are safer and often come with incentives.
- Avoid street money changers and unofficial channels; they put you at risk.
Why rates move
Exchange rates change with interest rates, inflation, trade balance, foreign reserves and market sentiment. Over longer periods, a currency with higher inflation tends to weaken against the dollar. Do not use a converter as a forecast.
Freelancers can quote with the invoice generator, overseas Pakistanis can see how savings abroad affect the zakat calculator, and importers can check margins with the profit calculator. Return on foreign investments can be measured with the ROI calculator.
Frequently asked questions
Where do the exchange rates come from?
From the free Exchange Rate API, which publishes mid-market rates updated roughly daily.
Is this the rate my bank will give me?
No. Banks and exchange companies add a margin and fees, so their rate differs from the reference rate.
Why is the USD to PKR rate different in the open market?
The open-market rate quoted by money changers can differ from the interbank reference rate.
Do you show historical rates?
No. We only show the latest reference rate to avoid presenting inaccurate history.
Can I convert any currency to PKR?
Yes, choose the currency in the From list and set To as PKR.