The State Bank of Pakistan’s (SBP) foreign exchange reserves recorded a marginal decrease of $15.3 million, or 0.13% week-on-week (WoW), reaching approximately $11.7 billion during the week ended January 3, 2025. The latest figures were disclosed in a report issued by the central bank on Thursday.
Overall, the country’s total foreign reserves, including those held by commercial banks, dropped by $30.9 million, or 0.19%, to stand at $16.38 billion.
Reserves held by commercial banks also saw a decline, falling by $15.6 million, or 0.33% WoW, to settle at $4.68 billion.
Despite the weekly contraction, SBP-held reserves have witnessed significant growth in the current fiscal year, rising by $2.31 billion, or 24.56%. However, on a calendar-year basis, the reserves have posted a slight decrease of $15.3 million, or 0.13%.
The foreign exchange reserves have remained a key indicator of Pakistan’s economic stability, particularly amidst ongoing challenges in external financing and currency market volatility. Experts note that maintaining adequate reserve levels is crucial for meeting international obligations and stabilizing the local currency.
The detailed weekly breakdown is as follows:
- SBP-held reserves: $11.70 billion, down by $15.3 million (-0.13%).
- Commercial banks’ reserves: $4.68 billion, down by $15.6 million (-0.33%).
- Total liquid reserves: $16.38 billion, down by $30.9 million (-0.19%).
The central bank’s reserves, which provide an essential cushion against economic shocks, have shown resilience over the fiscal year. However, fluctuations such as these underscore the importance of prudent external account management amid evolving global economic conditions.
