ISLAMABAD: The foreign exchange reserves of the State Bank of Pakistan (SBP) have started depleting fast, a development which can further weaken value of rupee in coming days.
The foreign exchange reserves of the central bank plunged by $1.646 billion, falling to $17.49 billion during the week ended on Oct 15, from over $20 billion in August 2021.
The State Bank said that reserves decreased mainly due to external debt repayments that included $1 billion against Pakistan International Sukuk.
While the government is negotiating with IMF for loans, it has reportedly planned to raise $3.5bn through selling of bonds on the international market.
During the week the reserves of the commercial banks increased by $4m to $6.835bn. During the period under review, Pakistan’s overall forex holdings fell by $1.642bn to $24.327bn in the period under review.
