Forex: Reserves drop to $13.9 billion

KARACHI: Foreign exchange reserves dropped to $13.85 billion in the week ending November 9, 2012, from $14.10 billion the previous week, the central bank said on Thursday. Reserves held by the State Bank of Pakistan (SBP) fell to $9.24 billion from $9.55 billion a week earlier, while those held by commercial banks rose to $4.6 billion from $4.55 billion. Foreign exchange reserves hit a record $18.31 billion in July 2012. Higher exports and record remittances have also supported Pakistan’s reserves. Overseas Pakistanis repatriated $3.60 billion in the first quarter of fiscal 2013. Pakistan’s reserves have been drained by debt repayments, including $109.4 million on October 1, 2012, on a $7 billion International Monetary Fund loan. The next repayment is due in November 2012.

Published in The Express Tribune, November 16^th, 2012.