Foreign exchange reserves of the country crossed the threshold of $10 billion on March 31, prompting the PML-N government to take credit of boosting the reserves and giving a solid foundation to the economy.
“Total liquid reserves stood at $10.072 billion. Net reserves with the State Bank of Pakistan were $5.365 billion while banks had reserves of $4.706 billion,” said a statement issued by the Ministry of Finance here on Tuesday.
After repaying the power sector’s circular debt of up to Rs500 billion and strengthening the value of the rupee, the government met yet another commitment by shoring up foreign currency reserves to a comfortable level of $10 billion, the statement quoted Finance Minister Ishaq Dar as saying.
He stressed that a solid foundation for economic development had been laid and the building of foreign reserves would bring stability and strengthen the economy.
“Pakistan has an encouraging macroeconomic framework, which will enhance confidence of foreign investors, the international community and institutions in energy and infrastructure projects of the country,” he said.
Later, the State Bank of Pakistan announced that the country paid on Tuesday the 30th installment under the International Monetary Fund’s (IMF) standby arrangement amounting to $109 million.
With payment of the fresh installment, Pakistan to date had repaid $7.010 billion to the IMF since July 2011. Of this amount, $6.066 billion was under the standby facility, said the central bank in a press release.
(with additional input from our Karachi correspondent)
Published in The Express Tribune, April 2nd, 2014.