US dollar now highest since February, a relief to UAE expats remitting this week

Dubai: UAE expats sending money home this week are getting more value for their dirhams, as the US dollar posted its strongest weekly gain since February.

The boost comes after US President Donald Trump’s new tariff threats reignited concerns about global inflation, pushing investors toward the safety of the dollar. The Bloomberg Dollar Spot Index climbed 0.73%—its best performance in over four months—lifting the greenback against major currencies. (Check live forex rates here.)

For Indian, Filipino, and Pakistani expats in the UAE, this is welcome news. A stronger dollar often means better exchange rates for remitters, especially when converting dirhams into their home currencies.

The Indian rupee fell from 23.25 to 23.37 per dirham, offering a slightly better return for those sending money back. After weeks of minimal movement, this dip gives Indian expats a small but helpful gain on remittances.

The Philippine peso also slipped, now at 15.38 to the dirham, down from 15.34. That means UAE-based Filipinos sending money home will receive more pesos per dirham—great news for families back home coping with rising costs.

The Pakistan rupee remained stable, trading at 77.42 to the dirham, keeping remittance values steady. Although there's no surge in value, the consistency offers predictability for regular senders.

Markets are reacting to Trump’s proposed 35% tariffs on Canadian goods and possible blanket tariffs of 20% on other major trading partners, including the EU. Investors fear that such moves could stoke inflation, reduce global growth, and lead to cautious spending. These fears have driven investors to hold more dollars, increasing its value.

Currency analysts say the strong dollar trend may continue in the short term, especially if geopolitical tensions rise or the U.S. economy shows signs of inflation. However, there’s still plenty of volatility ahead.

If you’re planning to send money soon, this may be a good time to act. With the dollar strong, your dirham stretches further. But with currency markets still sensitive to political headlines, keep a close eye on exchange rates and consider timing your transfers wisely.

For now, the strong dollar is a small win for UAE expats helping their families back home.