Foreign exchange: Reserves flat at $16.39 billion

KARACHI: Foreign exchange reserves stood at $16.39 billion in the week ended March 16, unchanged from the previous week, the central bank said on Thursday. Reserves held by the State Bank of Pakistan (SBP) fell to $11.67 billion from $11.86 billion a week earlier, while those held by commercial banks rose to $4.72 billion, compared with $4.53 billion the previous week. Foreign exchange reserves hit a record $18.31 billion in July last year, boosted by inflows of $411 million, including a $191.9 million loan from the World Bank, and a $196.8 million loan from the Asian Development Bank. Higher exports and record remittances have also supported Pakistan’s reserves. Reserves have since drained by debt repayments, including $399 million in the week ending February 24 due on an $8 billion International Monetary Fund loan.

Published in The Express Tribune, March 23^rd, 2012.