SBP Reserves Soar by $1.6 Billion

Foreign reserves held by the State Bank of Pakistan (SBP) witnessed substantial inflows of $1.609 billion in the fifth week of 2022 that ended on February 4, 2022. The central bank’s weekly report released on Thursday revealed that the country’s total liquid foreign exchange reserves went up by $1.636 billion on February 4, 2022, to $23.7 billion, compared to $22.08 billion in the previous week. SBP’s reserves soared by $1.609 billion to $17.336 billion, compared to $15.72 billion on February 4. Meanwhile, the net foreign reserves held by the commercial banks stood at $6.38 billion, depicting an increase of $27 million on a weekly basis. According to the central bank, the increase in the reserve position is due to foreign inflows in the shape of $1.053 billion from the International Monetary Fund (IMF), and proceeds against the country’s international Sukuk issuance of $1 billion. Meanwhile, the Pakistani Rupee (PKR) halted losses against the US Dollar on Thursday’s interbank close. It gained one paisa against the dollar, 25 paisas against the Pound Sterling (GBP), and held out against both the Saudi Riyal (SAR) and the UAE Dirham (AED). Conversely, it lost 25 paisas against the Euro (EUR), 35 paisas against the Canadian Dollar (CAD), and 57 paisas against the Australian Dollar (AUD) in today’s interbank currency market.