The State Bank of Pakistan (SBP) said on Thursday that Pakistan’s foreign exchange reserves declined by $140 million to $7.638 billion in the week ending September 8.
According to SBP data, the country’s overall reserves fell by $48 million to $13.079 billion. Commercial bank reserves, on the other hand, grew by $93 million to $5.440 billion.
The SBP attributed the drop in forex reserves to the repayment of external debt.
It is worth noting that, since the Staff Level Agreement (SLA) was signed with the International Monetary Fund (IMF), the country’s total liquid foreign reserves have increased significantly, with a $1.2 billion immediate disbursement from the IMF, a $2 billion deposit from Saudi Arabia, and an additional $1 billion deposit from the United Arab Emirates (UAE).
As a result, total liquid foreign reserves climbed by $3.9 billion, or 42.45%, in the current fiscal year.