Data released by the central bank on Thursday reveals that the foreign exchange reserves held by the State Bank of Pakistan (SBP) experienced a weekly increment of $77 million.
As of November 24, the SBP's foreign currency reserves reached $7.257 billion, marking a notable rise from the $7.180 billion recorded on November 17.
Examining the broader scope, encompassing overall liquid foreign currency reserves in the country, including net reserves held by banks other than the SBP, the total amounted to $12.393 billion. This indicated a weekly upswing of $91 million. Specifically, net reserves held by banks reached $5.136 billion, reflecting an increase of $14 million during the week.
An additional positive development impacting Pakistan's foreign exchange reserves occurred when the Saudi Fund for Development (SFD), acting on behalf of the Kingdom of Saudi Arabia, opted to extend the term for the $3 billion deposit placed with the SBP. Initially slated to mature on December 5, 2023, the deposit term has now been extended for another year. This extension contributes significantly to maintaining stability in Pakistan's foreign exchange reserves.
In the preceding week, Dr. Shamshad Akhtar, the Caretaker Federal Minister for Finance, provided insights into the country's financial outlook. Dr. Akhtar noted that once the first review of the Stand-By Arrangement (SBA) is approved by the International Monetary Fund (IMF) Executive Board, Pakistan is set to receive financial assistance from various multilateral development banks.
She highlighted that beyond the $700 million expected from the IMF, the SBA approval would unlock an additional $1.5 billion in financial assistance from other multilateral financial institutions.
These developments underscore positive trends in Pakistan's economic landscape, with foreign exchange reserves witnessing growth and the prospect of substantial financial assistance paving the way for enhanced economic stability.