This research empirically investigates the effects of macroeconomic and firm-specific variables on firm level productivity growth. The analysis is carried out for unbalanced panel of 241 exporting firms, listed on Pakistan Stock Exchange (PSE) over the period 2009-2017. The investigation provides evidence that export orientation of firms increases their productivity growth, that is, higher productivity growth of the firm is positively associated with greater export orientation. This study further determines behaviors of export-oriented firms under economic impact of currency appreciation and exchange rate uncertainty. Both exchange rate uncertainty and currency appreciation adversely effects the productivity growth of firms, however, the productivity growth of exporting firms are more harmed from uncertainty than currency appreciation. Furthermore, leverage and firm size is emerged as an essential determinant of productivity growth of the firm and positively affect the productivity growth of the firm. Overall, this study suggests that the government should properly regulate the foreign exchange market in order to control health of economy, and protect the exports of the firms from negative shocks of the exchange rate. In addition, government is supposed to provide incentives and better atmosphere of investment for firms to expand their activities and to contribute further to their exports. Supervisor:- Dr. Abdul Rasheed