Pakistan’s total foreign exchange reserves declined by $51.9 million over the past week, bringing the overall reserves down to $15.87 billion, according to the latest data.
Despite the overall decline, the State Bank of Pakistan (SBP) recorded a rise in its dollar reserves. SBP’s holdings increased by $27.1 million, reaching $11.2 billion.
In contrast, commercial banks experienced a notable reduction in their reserves, with dollar deposits dropping by $79 million to a total of $4.62 billion.
The fluctuations in foreign reserves come amid ongoing economic pressures, including external debt repayments and rising import costs, which continue to strain Pakistan’s foreign exchange holdings.
IMF Negotiations and Revenue Measures
Meanwhile, the Federal Board of Revenue (FBR) has assured the International Monetary Fund (IMF) that Pakistan will address the Rs 605 billion tax shortfall without introducing a mini-budget. The government has presented a plan to the IMF, outlining that the deficit will be covered through the resolution of pending tax cases.
Officials expect the revenue target to be met by June; however, if necessary, expenditure cuts will be implemented to offset any remaining deficit.
Additionally, the FBR anticipates securing Rs 157 billion through upcoming Supreme Court and High Court rulings on the super tax. The Supreme Court’s decision, expected on March 10, is projected to contribute Rs 57 billion, while the remaining Rs 100 billion is expected from a High Court verdict.
