Pakistani currency traders and individuals have reportedly purchased around 300 billion Iranian rials within just five days, following a sharp rise in the currency’s value after recent Iran–US diplomatic developments.

According to the Exchange Companies Association of Pakistan, the sudden increase in demand reflects growing public interest in the Iranian currency, which has seen a significant appreciation of nearly 100 percent in a short period.

Chairman of the association, Malik Bostan, stated that trading in Iranian rial is legal in Pakistan, and a growing number of middle-class citizens are actively purchasing the currency. He noted that the recent market movement has attracted both investors and small buyers looking to benefit from currency fluctuations.

He further explained that the value of Iranian rial has increased dramatically in the local market. He claimed that currency which previously cost around Rs 10 million for a certain amount has now surged to nearly Rs 40,000 for the same volume, highlighting the volatility and rapid price changes following international developments.

Financial observers say the spike is linked to improved sentiment after Iran–US understanding, which has influenced expectations in regional currency markets. However, they also caution that such sharp movements in informal currency trading can carry high risks for retail buyers.

Experts have advised investors to be careful, as exchange rates in unofficial markets can fluctuate rapidly and may not always reflect long-term stability. They added that regulatory oversight and market awareness are essential to avoid potential losses in speculative trading.

The trend continues to gain attention as Pakistan’s currency exchange market reacts to geopolitical developments in the region.