Forex Reserves Surge by $378 Million

Pakistan’s foreign exchange reserves received significant inflows of $498.7 million from the International Monetary Fund (IMF) under the Extended Financing Facility (EFF) program. After external debt repayment, the overall reserves surged by $378 million to reach $20.83 billion by the week ended on 26 March 2021, according to the State Bank of Pakistan (SBP). The reserves held by the SBP stood at $13.67 billion. The reserves maintained by the commercial banks stood at $7.16 billion. The significant inflows improved the stability of the Rupee against the Dollar, which will ultimately reduce the cost of imported items. It is expected that inflows raised under various bonds improve the foreign exchange reserve levels and provide stability to the reserves for repayment of debts to donors and financial institutions.