Pakistan

Central bank records reserves dropping to lowest level since June 2020

SBP says the decline reflects the repayment of debt

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Karachi: The foreign exchange reserves held by the State Bank of Pakistan (SBP) declined 6.04% on a weekly basis, data released by the central bank showed on Thursday.

On April 1, the foreign currency reserves held by the SBP were recorded at $11,319.2 million, down $728 million compared with $12,047.3 million on March 25.

According to the central bank, this decline reflects the repayment of debt.

"Reserves decrease […] largely due to debt repayment and government payment pertaining to the settlement of an arbitration award related to a mining project," the central bank said.

Overall liquid foreign currency reserves held by the country, including net reserves held by banks other than the SBP, stood at $17,476.9 million. Net reserves held by banks amounted to $6,157.7 million.

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