Pakistan Foreign Exchange reserves register sudden big rise

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Pakistan Foreign Exchange reserves register sudden big rise

ISLAMABAD - The foreign exchange reserves held by the central bank surged 18pc on a weekly basis, according to data released by the State Bank of Pakistan (SBP) on Thursday.

On December 13, the foreign currency reserves held by the SBP were recorded at $10,892.9 million, up $1,659.3 million compared with $9,233.6 million in the previous week. Such levels were last seen in May 2018.

The overall liquid foreign currency reserves held by the country, including net reserves held by banks other than the SBP , stood at $17,655.5 million. Net reserves held by banks amounted to $6,762.6 million.

“This increase is attributed to multilateral and other official inflows including the $1.3 billion received from the Asian Development Bank (ADB),” said the SBP in a statement.

“A major improvement in the foreign exchange reserves came from a significant contraction in the current account deficit,” Taurus Securities’ Deputy Head of Research Mustafa Mustansir said, citing a statement issued by the SBP a couple of days ago.

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