SBP forex reserves rise by $14.4 million to $8.055 billion

KARACHI: The foreign exchange reserves held by the central bank slightly rose by 14.4 million to $8.055 billion in the week ending April 12, the State Bank of Pakistan said on Thursday.

“During the week, SBP has executed the repayment of US$ 1 billion maturing Pakistan’s International Bond (principal plus interest),” it said in a weekly statement.

However, the country’s total reserves fell by $68 million to $13.374 billion. Similarly, the reserves of commercial banks decreased by $82 million to $5.319 billion. Analysts said Pakistan made the Eurobond payment on April 12, which will be reflected in next week numbers. With the recent Eurobond payment last week, the reserves may drop to $7 billion.

Analyst Mohammad Sohail at brokerage Topline Securities said that even after paying $1 billion for Eurobonds, reserves remained above $8 billion. Additionally, a $1.1 billion IMF tranche is also in the pipeline by the end of April. "This is a wonderful achievement amid a challenging economic situation.”