Friday, December 26, 2025

Pakistan foreign exchange reserves slip despite SBP uptick

Central bank holdings rise as commercial bank assets decline

Pakistan’s total liquid foreign exchange reserves stood at $21.02 billion for the week ended December 19, 2025, slightly lower than $21.09 billion recorded a week earlier, according to data released by State Bank of Pakistan on Thursday.

SBP-held reserves increased by $16 million to $15.90 billion, compared with $15.89 billion in the previous week, marking a 0.10% week-on-week rise and extending gains recorded in the preceding period.

In contrast, net foreign assets held by commercial banks declined to $5.12 billion from $5.20 billion, offsetting the increase in central bank reserves and resulting in a marginal overall drop.

The latest movement follows a sharp increase in reserves last week, driven by inflows linked to bilateral financing and improved market sentiment, while this week’s change reflects routine fluctuations linked to external payments and rollover requirements.

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