The exchange rate forecast for the AED to QAR is influenced by several recent developments in both the UAE and Qatar. Analysts highlight the recent currency swap agreement between the UAE and Turkey, which could enhance liquidity in the AED and potentially support its value against the QAR. As of early October 2025, the AED is trading near 0.9912 QAR, marking a low not seen for the past week and is positioned close to its three-month average. Throughout this period, the exchange rate has remained stable, fluctuating within a tight 1.5% range.
In the UAE, the central bank's recent interest rate cut and Dubai's strategy to attract British property buyers by leveraging a weaker AED could impact economic activity and demand for the dirham. Furthermore, the rise in British investments in Dubai real estate suggests that a weaker AED is being used effectively to stimulate foreign interest. Despite this, the rate cut aligns with U.S. Federal Reserve policies and is expected to stimulate local markets, potentially adding to stability.
On the Qatari side, the riyal remains pegged to the U.S. dollar at 3.64 QAR, providing stability in a fluctuating global economic environment. Economists from Qatar National Bank forecast a moderation in the U.S. dollar’s value that may also influence the QAR, although local interest rate adjustments have been made to support the economy and the riyal’s position. Qatar's ongoing diversification efforts are seen as essential for maintaining economic resilience.
The recent movement in oil prices, which have dropped to $64.53, approximately 5.0% below the three-month average, could indirectly impact the QAR due to its strong ties to the oil market. Volatile oil prices create uncertainty around Qatari revenues, which are critical for economic stability.
Overall, while both currencies exhibit some level of stability, external economic forces, including oil price fluctuations and monetary policy adjustments, will continue to influence the AED to QAR exchange rate moving forward.
