SBP reserves inch up to $16b

Central bank holdings rise by $16m; gold down by Rs3,700/tola

KARACHI:

Pakistan's total liquid foreign exchange reserves stood at $21.25 billion as of January 9, 2026, according to data released by the State Bank of Pakistan (SBP) on Thursday.

The reserves comprised $16.07 billion held by the SBP and $5.18 billion with commercial banks, taking the overall liquid reserves to $21.248 billion. During the week ended January 9, the SBP's foreign exchange reserves rose by $16 million, reflecting a modest improvement in the central bank's external buffers. The increase took the SBP-held reserves to $16.072 billion. Moreover, the SBP injected a cumulative Rs358.5 billion into the banking system through separate conventional and Shariah-compliant open market operations (OMOs) to manage short-term liquidity.

According to the central bank, it conducted a Shariah-compliant Mudarabah-based OMO (injection) with an eight-day tenor, accepting the entire amount of Rs155 billion offered at a rate of return of 10.55% per annum. Two bids were accepted, with the realised value of Rs155.44 billion, reflecting strong participation from Islamic banks.

In parallel, the SBP carried out a conventional OMO through reverse repo (injection) for the same eight-day tenor, where banks offered Rs203.5 billion. The central bank accepted bids worth Rs201.17 billion at a cut-off rate of 10.51%, with eight quotes accepted. Furthermore, the Pakistani rupee appreciated by one paisa against the US dollar in inter-bank trading and closed at Rs279.96 compared to the previous day's close at Rs279.97. Meanwhile, gold prices registered a notable decline in the local market on Thursday as the price of 24-karat gold per tola decreased by Rs3,700 to settle at Rs482,462.

The price of 10 grams of 24-karat gold dropped by Rs3,172 to Rs413,633, according to the All Pakistan Sarafa Gems and Jewellers Association.

Silver prices also recorded a downward trend, with 24-karat silver per tola declining by Rs150 to Rs9,425, while the price of 10 grams of silver decreased by Rs129 to Rs8,080. In the international market, gold prices declined as weaker-than-expected US weekly jobless claims data boosted the dollar, while US President Donald Trump's moderated tone on Iran further weighed on safe-haven demand for the metal.

Spot gold was down 0.1% at $4,614.97 per ounce as of 1610 GMT, according to Reuters. Bullion hit a record $4,642.72 on Wednesday. US gold futures for February delivery fell 0.3% to $4,619.80.