Forex: Reserves fall to $16.96b

Reserves held by State Bank of Pakistan (SBP) fell to $13.20 billion, compared with $13.27 billion the previous week.

KARACHI:

Pakistan’s foreign exchange reserves fell to $16.96 billion in the week ending November 18, compared with $17.03 billion in the previous week, the central bank said on Thursday.

Reserves held by the State Bank of Pakistan (SBP) fell to $13.20 billion, compared with $13.27 billion the previous week. Reserves held by commercial banks were flat at $3.76 billion, from the previous week.

Foreign exchange reserves hit a record $18.31 billion in the week ending July 30, but have since eased due to debt repayments. The reserves were boosted in June by inflows of $411 million, including a $191.9 million loan from the World Bank, and a loan of $196.8 million from the Asian Development Bank.

Higher export proceeds, and a record inflow of remittances, have also helped support Pakistan’s foreign exchange reserves. According to official data, remittances rose 23.24% to $4.3 billion in the first four months of the 2010/11 fiscal year.

Published in The Express Tribune, November 25^th, 2011.