SBP’s forex reserves rise to $3.8b

The foreign exchange reserves held by the central bank rose by 16.5% on a week-on-week basis to $3.8 billion, according to data released by the State Bank of Pakistan (SBP) on Thursday.

On February 24, 2023, the SBP’s foreign currency reserves stood at $3,814.1 million, up by $556 million compared to $3,258.5 million on February 17.

The central bank attributed the rise in foreign exchange reserves to the receipt of $700 million as commercial loan disbursement from China. “After accounting for external debt repayments, the SBP’s reserves increased by $556 million to $3,814.1 million,” it said in a statement.

Overall, the liquid foreign currency reserves held by the country, including the net reserves held by banks other than the SBP, stood at $9,267.9 million. The net reserves held by banks amounted to $5,453.8 million.

The foreign currency reserves have continued to improve after the central bank opted to buy US dollars from the inter-bank market.