Pakistan’s foreign exchange reserves dipped slightly in the week ending March 1, 2024, according to the State Bank of Pakistan.
Starting the week at $13.2 billion, Pakistan's foreign exchange reserves managed by the State Bank fell to $7.89 billion by March 1st. This represents a decrease of roughly $5.31 billion.
The State Bank of Pakistan attributes the decline in reserves to external loan repayments, which specifically lowered their holdings by $53.9 million.
Despite the decline in State Bank reserves, the rise in commercial bank deposits suggests a potential positive sign for Pakistan's overall foreign exchange holdings. This indicates that while the government is paying down debts, there might be a continued inflow of foreign currency through other channels.
