Pakistan's Central Bank Reserves Experience Modest Uptick, Reaching $7.51 Billion
In a weekly update, data released on Thursday revealed a marginal increase of $4 million in the foreign exchange reserves held by the State Bank of Pakistan (SBP), bringing the total to $7.51 billion as of November 3.
Karobar
The overall liquid foreign reserves for the country amounted to $12.61 billion, with commercial banks holding net foreign reserves of $5.10 billion. The SBP, however, did not provide specific details regarding the factors contributing to this increase in reserves.
According to the central bank's statement, "During the week ending on November 3, 2023, SBP's reserves grew by $4 million to reach $7,511.5 million."
This follows a $14 million increase in Pakistan's central bank reserves reported last week.
The boost in central bank reserves earlier this year can be attributed to several factors, including the first tranche of approximately $1.2 billion received from the International Monetary Fund (IMF) in July. This financial injection came after the IMF approved a new $3-billion Stand-By Arrangement for Pakistan. Additional inflows were also noted from Saudi Arabia and the UAE.
Despite these positive developments, the central bank's reserves have been facing challenges, with pressures arising from debt repayments, an increase in import payments following the easing of restrictions, and a lack of fresh inflows.
