SBP reserves fall $26m to $17.2b

Central bank cites no reason for decrease

Our Correspondent July 16, 2021
State Bank of Pakistan. PHOTO: FILE


The foreign exchange reserves held by the central bank fell 0.14% on a weekly basis, according to data released by the State Bank of Pakistan (SBP) on Thursday.

On July 9, the foreign currency reserves held by the SBP were recorded at $17,205.6 million, down $26 million compared with $17,231.1 million recorded on July 2. The central bank gave no reason for the decrease in reserves.

Overall liquid foreign currency reserves held by the country, including net reserves held by banks other than the SBP, stood at $24,312.1 million. Net reserves held by banks amounted to $7,106.5 million. Pakistan borrowed $2.5 billion through Eurobonds on March 30, 2021 by offering lucrative interest rates to lenders aimed at building the foreign exchange reserves.

Read More: State Bank reserves rise $1.1b to $17.2b

It received the first loan tranche of $991.4 million from the IMF) on July 9, 2019, which helped bolster the reserves. In late December 2019, the IMF released the second loan tranche of around $454 million. The reserves also jumped on account of $2.5 billion in inflows from China. In 2020, the SBP successfully made foreign debt repayment of over $1 billion on the maturity of Sukuk.

In December 2019, the foreign exchange reserves surpassed the $10 billion mark owing to inflows from multilateral lenders including $1.3 billion from the Asian Development Bank (ADB).

Published in The Express Tribune, July 16th, 2021.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.


Replying to X

Comments are moderated and generally will be posted if they are on-topic and not abusive.

For more information, please see our Comments FAQ


Most Read