Pakistan’s foreign exchange reserves are approaching $27 billion, according to Pakistan Banks Association (PBA) Chairman Munir Kamal, who said the level of reserves is important for the country’s economy and its future direction. Speaking at a ceremony in Karachi, Kamal discussed developments in Pakistan’s foreign exchange position, remittance flows, banking sector support for the government and the role of banks in promoting exports and economic activity.
Kamal said the decline in Pakistan’s foreign exchange reserves had contributed to the economic crisis witnessed in 2022. He highlighted the current level of reserves as an important development for the country, with foreign exchange holdings now approaching the $27 billion mark. His remarks linked the level of reserves with broader economic conditions and the ability of the country to manage its external financial requirements.
The PBA chairman also said remittances were expected to increase significantly, potentially rising from $31 billion to as much as $45 billion. Remittances sent by Pakistanis living abroad represent an important source of foreign exchange for the country and provide financial support to households across Pakistan. An increase in these inflows would also contribute to the availability of foreign currency within the formal financial system.
Kamal further said Pakistan’s banking sector had assumed responsibility for supporting the government from July 1, 2026. According to his remarks, banks had provided $70 million under the government’s responsibility. The comments highlighted the role of commercial banks in supporting government-related financial requirements and their broader participation in the country’s financial system.
He also discussed the contribution of the banking industry to exports and economic growth, saying banks were playing an important role in supporting export activity. Kamal described Pakistan’s banking industry as one of the best-regulated industries in the world, while pointing to the regulatory framework of the State Bank of Pakistan as a factor contributing to improvements in the sector.
According to Kamal, the State Bank of Pakistan’s regulatory framework has supported developments within the banking industry by providing regulatory oversight for financial institutions. The central bank’s framework governs various areas of banking activity and forms part of the wider financial infrastructure through which banks operate and provide services to businesses, individuals and government-related entities.
The remarks were made during a ceremony in Karachi where details of a prize scheme were also announced. Under the scheme, the first prize was set at Rs100 million, while the second prize was fixed at Rs25 million. The third prize was announced at Rs10 million, while the fourth prize was set at Rs1 million.
The comments on foreign exchange reserves, remittances and banking sector activity come as Pakistan continues to focus on strengthening external financial stability and increasing foreign currency inflows. With reserves approaching $27 billion and remittances projected by the PBA chairman to potentially reach $45 billion, the banking sector remains involved in facilitating financial flows, supporting exporters and providing services linked to the wider economy.
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