After the termination of the British Raj, and emergence of two sovereign nations, Pakistan and India, the country continued to use the pre-existing currency notes and coins stamped by the government of Pakistan during the early days of independence.
However, in 1948, the State Bank of Pakistan introduced new banknotes, marking a significant step towards establishing Pakistan’s financial independence. Interestingly, despite the well-established history and stability of the US dollar, the exchange rate between the US dollar (USD) and the Pakistani Rupee (PKR) in 1947 was notably low.
During that era, 1 British Pound (GBP) held a value of 13.33 Pakistani Rupees only, while 1 US Dollar (USD) was valued at a mere 3.31 Pakistani Rupees. This exchange rate stands as one of the most advantageous in the history of the USD-PKR dynamic, signifying a distinct phase of currency valuation at the time of India and Pakistan’s partition.
