KARACHI: According to data issued by the State Bank of Pakistan (SBP), the foreign exchange reserves held by the institution decreased by 0.2% week over week (SBP). The SBP report shows that the central bank’s foreign reserves were $6,700 million, down $14.9 million from $6,714.9 million on December 2. Since January 2019, SBP-held reserves have never been lower than at this time. The fall in reserves was not explained by the central bank.
The nation’s liquid foreign exchange reserves, which also include the net reserves held by banks other than the SBP, were valued at $12,570.2 million at the time. The total amount of net reserves held by banks was $5,870.2 million. SBP Governor Jameel Ahmad stated in a podcast on December 8 that all debt repayments were on schedule and that an increase in the nation’s foreign exchange reserves was anticipated for the second half of the current fiscal year.
Governor SBP indicated that around $33 billion will need to be paid back to external stakeholders for the fiscal year 2023, comprising $10 billion for the Current Account Deficit (CAD) and $23 billion for loan repayments. Pakistan has already paid back more than $6 billion of its $23 billion external debt, and with the help of the relevant nations, a $4 billion bilateral loan has been extended.
