Pakistan’s foreign exchange reserves recorded a strong weekly rise, offering a welcome lift to the country’s external position after fresh inflows from the International Monetary Fund.
According to data released by the State Bank of Pakistan on Thursday, reserves held by the central bank climbed by $1.3 billion during the week ended December 12, reaching $15.89 billion. This marked an increase of 8.91 percent compared to the previous week.
IMF inflows boost reserves
The sharp rise was largely driven by funds received from the IMF. During the week, the SBP received SDR 914 million, which is equivalent to around $1.2 billion.
The inflows followed a decision by the IMF Executive Board at its meeting on December 8, when it completed the second review of Pakistan’s Extended Fund Facility programme.
As part of that review, the Board approved the release of SDR 760 million. It also cleared the first tranche of SDR 154 million under the Resilience and Sustainability Facility.
These funds provided immediate support to Pakistan’s foreign exchange buffers, helping improve the central bank’s reserve position at a time when external financing remains closely watched by markets.
The impact was also visible in the country’s overall reserve picture. Total foreign exchange reserves rose by $1.48 billion, or 7.53 percent week on week, to stand at $21.09 billion.
Reserves held by commercial banks increased as well, rising by $176.5 million, or 3.51 percent, to $5.2 billion.
Looking at a broader timeline, SBP-held reserves have grown by $6.82 billion, or 75.26 percent, so far in the current fiscal year. On a calendar-year basis, reserves are up by $4.18 billion, reflecting a rise of 35.66 percent.
The latest data points to improving short-term stability, supported mainly by official inflows rather than market borrowing.
