KARACHI: Pakistan’s foreign exchange reserves held by the central bank rose by $28 million to $14.302 billion during the week ending August 29, the State Bank of Pakistan reported on Thursday.
The country’s total liquid foreign reserves increased by $42 million to $19.66 billion. The reserves of commercial banks also increased by $14 million to $5.357 billion. The SBP’s reserves are enough to cover 2.62 months of imports.
The reserves of the SBP increased for the fourth consecutive week; however, the bank did not specify the reasons for the ongoing rise in its reserves in the weekly statement. Overall, the improvement in the external account driven by strong remittances, coupled with continued foreign exchange purchases by the SBP, has contributed to the growth of its reserves.
Pakistan faces a $500 million Eurobond repayment due this month, followed by a $1 billion maturity in April 2026. Jameel Ahmad, the governor of the SBP, told the media after a monetary policy meeting in July that the bank does not anticipate any challenges in meeting its future debt obligations. The SBP expects its reserves to rise to $15.5 billion by the end of December and reach around $17 billion by end-June 2026.