KARACHI: The State Bank of Pakistan’s (SBP) foreign exchange reserves increased by $51 million to $9.153 billion during the week ending August 2 without disclosing the source of this inflow, central bank data showed on Thursday.

The SBP’s foreign exchange reserves rose for the second straight week after dipping significantly to $9.027bn on July 19 from $9.42bn on July 12.

The SBP reported the country’s total foreign exchange reserves increased to $14.472bn, including $5.318bn held by the commercial banks.

The SBP reserves are considered a measurement of stability in the financial sector. At the end of FY24, they rose to $9.389bn compared to $4.44bn in June FY23. This was a significant change that helped stabilise the exchange rate and gave confidence to foreign investors.

The exchange rate has been stable for the last four months, and foreign investors have found the situation suitable for investment. During this period of stability, the inflows in domestic bonds were highest after the pre-Covid-19 period. The country received $258m in July, while the inflows were $230m in May.

The financial market expects the SBP’s reserves to reach up to $13bn at the end of 2025 with fresh IMF inflows under a new loan programme.

Published in Dawn, August 9th, 2024

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

System failure
Updated 12 Nov, 2024

System failure

Relevant institutions often treat right to internet connectivity with the same disdain as they do civil and political rights.
Narrowing the gap
12 Nov, 2024

Narrowing the gap

PERHAPS a pat on the back is in order for the ECP. Together with Nadra, it has made visible efforts to reduce...
Back on their feet
12 Nov, 2024

Back on their feet

A STIRRING comeback in the series has ended Pakistan’s 22-year wait for victory against world champions Australia....
Time to deliver
Updated 11 Nov, 2024

Time to deliver

Pakistan must display a serious commitment to climate change adaptation and mitigation at home.
Smaller government
11 Nov, 2024

Smaller government

THE IMF bailout programme has put the government under pressure to curtail its spending, especially current...
Unsafe inheritance
11 Nov, 2024

Unsafe inheritance

DESPITE regulations, the troubling practice of robbing women of their rightful inheritance — the culprits are ...