Forex reserves decline by $115 million

SBP attributes slump to debt repayments

KARACHI:

Pakistan’s foreign exchange reserves witnessed a 1.53% decrease on a week-on-week basis, reaching $7.4 billion, as reported by the State Bank of Pakistan (SBP) on Friday.

As of the week ending on November 10, 2023, the SBP’s foreign currency reserves stood at $7,396.7 million, reflecting a decline of $114.8 million compared to the previous week’s total of $7,511.5 million.

The dip in reserves is attributed to debt repayments by the SBP. The total liquid foreign currency reserves, inclusive of reserves held by commercial banks, amounted to $12,535.5 million, with commercial banks holding $5,138.8 million.

Read: Forex reserves fall by $220m to $7.5b

Previously, Pakistan’s foreign exchange reserves had experienced significant growth following financial assistance from the International Monetary Fund (IMF) through its $3 billion standby arrangement (SBA) and dollar deposits from friendly nations. The IMF initiated its loan programme, disbursing the first tranche of $1.2 billion. Additionally, Saudi Arabia and the United Arab Emirates (UAE) deposited $3 billion into the SBP’s accounts.