PKR - Pakistani Rupee

The State Bank of Pakistan (SBP), established in 1948, is responsible for issuing, regulating, and stabilizing the Pakistani Rupee. It manages monetary policy, controls inflation, and safeguards the value of the currency. The PKR operates on a managed floating exchange rate, with the SBP intervening as needed to keep the rupee from fluctuating abruptly.

Pakistan introduced its currency on July 1, 1948, shortly after gaining independence from British India in 1947. Initially, Pakistan used Indian banknotes stamped with “Government of Pakistan” while the new currency was printed. Yes, it was India—the first country to issue Pakistani Rupees.

Early versions of Pakistan’s currency included both Urdu and Bengali text since Bangladesh used to be East Pakistan at that time. The Pakistani Rupee underwent decimalization in 1961, moving away from a system that included 'annas' (where 1 Rupee = 16 Annas). Later, the Rupee was divided into 100 paisa. As of now, the use of paise was phased out on 1 July 2021, and only the rupee is in use now.

Pakistan officially adopted the “₨” symbol for its currency, a representation derived from the word “Rupee.” While it resembles the symbols used in other South Asian countries, the abbreviation “PKR” in international finance clearly identifies the Pakistani Rupee.