Pakistan’s foreign exchange reserves held by the central bank decreased by $397 million to $9.027 billion in the week ending July 19 due to external debt repayments, according to a report by the State Bank of Pakistan, as cited by Presstonight.
The country’s total foreign exchange reserves dropped by $369 million to $14.335 billion. However, commercial banks saw an increase in their reserves by $28 million, bringing the total to $5.308 billion.
This month, Pakistan reached a new $7 billion loan agreement with the International Monetary Fund (IMF) aimed at supporting the struggling economy and managing its growing debts. The agreement is currently awaiting approval by the IMF Executive Board.
The new IMF program is expected to improve Pakistan’s financial outlook significantly. It is anticipated to secure funding from other bilateral and multilateral partners, helping to meet the country’s external financing needs and boosting its foreign exchange reserves.
