The foreign exchange reserves held by the State Bank of Pakistan (SBP) saw a modest increase of $29.8 million or 0.25% week-on-week, reaching $11.73 billion as of January 10, 2025. This marks a positive development in the country’s efforts to maintain financial stability. According to data released by the SBP on Thursday, Pakistan’s total liquid foreign reserves also rose by $73.1 million or 0.45%, bringing the cumulative figure to $16.45 billion during the same period.
The reserves held by commercial banks contributed significantly to this overall growth, with an increase of $43.3 million or 0.92% week-on-week, reaching $4.73 billion. These gains underscore steady improvements in Pakistan’s financial outlook, bolstered by better foreign inflows and stronger remittance figures.
The current fiscal year has been particularly favorable for the SBP’s reserves, which have grown by $2.34 billion or 24.87% since the start of the period in July 2024. Although the current calendar year has only just begun, it has already recorded a small but notable increase of $14.5 million or 0.12%, indicating a stable economic trajectory heading into 2025.
Comparative data further highlights this progress. SBP reserves increased from $11.695 billion on January 3, 2025, to $11.725 billion on January 10, 2025. Similarly, reserves held by commercial banks rose from $4.682 billion to $4.726 billion during the same period. These figures reflect a consistent upward trend, which is vital for Pakistan’s external financial stability.
The steady accumulation of reserves reinforces Pakistan’s ability to manage its external obligations, sustain a stable exchange rate, and support import activity. The rise in commercial bank reserves also demonstrates increasing confidence in the domestic financial sector, which plays a critical role in economic resilience.
This continued improvement in foreign exchange reserves aligns with the government’s broader strategy to strengthen the country’s external financial position. By focusing on encouraging remittances, improving export revenues, and securing foreign inflows, Pakistan is gradually building a buffer against external shocks and reinforcing economic stability.
As the fiscal year progresses, the upward trajectory of foreign reserves serves as a positive indicator of the country’s financial health. The growth not only enhances Pakistan’s ability to meet its external debt obligations but also boosts investor confidence, signaling a move toward greater economic resilience and sustainability in the months to come.