Pakistani rupee tops Asia's currency rankings, Sri Lankan rupee follows

Pakistani rupee has clinched the title of Asia's best-performing currency, outshining its regional counterparts over the past year.

Marking a notable growth, the Pakistani currency has surged by 3.1% against the US dollar, settling at Rs278.12 per dollar in the MSCI Asia Emerging and Frontiers Market Index as of Friday.

This impressive feat can be attributed to a confluence of factors, with foreign exchange inflows through the Roshan Digital Account (RDA) serving as a significant factor.

The RDA has emerged as a pivotal channel, facilitating an influx of $8 billion from overseas Pakistanis keen on supporting their families back home.

Beyond RDA inflows, robust remittances, stable export figures, and strategic loans from institutions like the IMF and World Bank have also contributed to the rupee's strengthening.

Additionally, the rollover of loans has added to Pakistan's economic resilience, further enhancing investor confidence.

Sri Lankan currency claims the second spot in Asia's currency rankings, having experienced a commendable 2.7% improvement.

In contrast, currencies from neighboring nations such as India, China, Vietnam, and Bangladesh have witnessed declines ranging up to 5.6%.