Pakistan’s foreign exchange reserves have crossed the $16 billion mark for the first time in over two years, signaling positive progress in the country’s financial stability and economic outlook.
According to the State Bank of Pakistan (SBP), total foreign reserves increased by $64 million, reaching $16.047 billion as of October 4, 2024. This is a rise from the $15.98 billion recorded the previous week. The SBP’s own reserves saw a growth of $106 million, bringing the total to $10.808 billion, the highest level since April 2022.
However, reserves held by commercial banks dropped by $42 million, now standing at $5.239 billion. Despite this decline, the overall increase in reserves is a positive sign for Pakistan’s economy.
At present, Pakistan’s foreign reserves are enough to cover roughly two months of imports, which is a key indicator of a country’s economic health. This rise in reserves is encouraging for Pakistan, suggesting that the country is moving towards greater financial security after a challenging period.
The improvement in foreign reserves is an important step for the government as it works to stabilize the economy and enhance its global financial standing.
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