Pakistan’s foreign exchange reserves exhibited a noteworthy increase,despite a $3.1 million decline in the State Bank’s holdings, resulting in atotal of $7.64 billion.
This data, as reported by the Central Bank, shows that the State Bank ofPakistan’s foreign exchange reserves experienced a weekly reduction of $3.1million, bringing the total to $7.64 billion by October 6.
In a broader context, Pakistan’s overall foreign exchange reserves reached$13.03 billion, with contributions of $5.39 billion coming from commercialbanks. While the Central Bank has not provided a specific reason for thisincrease in foreign exchange reserves, one plausible explanation could bethe surge in remittances from overseas Pakistanis during September. Theother cloud be the deposits by money exchange companies in the nationalbanks.
By the end of the week on October 6, 2023, the State Bank of Pakistan’sreserves saw a decrease of $31 million, resulting in the central bank’sreserves amounting to $7.64 billion.
Read Top Stories
It’s important to note that the State Bank’s rise in foreign exchangereserves can be attributed to various sources. In July, Pakistan received asubstantial $1.2 billion installment from the International Monetary Fund(IMF), and an additional $3 billion was secured from other creditors,including Saudi Arabia and the United Arab Emirates. This financial influxfollowed the approval of a standby arrangement.