SBP’s foreign exchange reserves decrease by $354m

KARACHI: The foreign exchange reserves held by State Bank of Pakistan (SBP) decreased by $354 million to $4.2443 billion, ARY News reported on Thursday, citing data issued by the central bank.

According to a statement issued by the SBP, its foreign exchange reserves decreased by $354 million to $4.2443 billion as of the week ended March 24 owing to external debt repayment.

Meanwhile, the net forex reserves held by commercial banks stand at $5.571 billion, $1,327.3 billion more than the SBP, bringing the total liquid foreign reserves of the country to $9.815 billion.

Pakistan is eyeing to reach an agreement with the International Monetary Fund (IMF) that would not only lead to a disbursement of $1.2bn but also unlock inflows from friendly countries.

Earlier in March, it was reported that the International Monetary Fund (IMF) tabled another condition for the revival of $7 billion Extended Fund Facility (EFF), seeking ‘written assurance’ of financing from friendly countries to Pakistan by June 30.

Sources told ARY News that IMF has sought a written assurance of financing to Pakistan from friendly countries, including Saudi Arabia, Qatar and the United Arab Emirates (UAE) by June 30.

Sources within finance ministry claimed that the written assurance must be provided by the executive directors of the respective friendly countries at the International Monetary Fund (IMF).

‘Pakistan to secure funds from Saudi Arabia, UAE soon’

A day earlier, Minister of State for Finance and Revenue Senator Aisha Ghaus Pasha said that Pakistan would also secure funds from Saudi Arabia and the United Arab Emirates (UAE) soon following China’s help in ‘dire time’.

Aisha Ghaus Pasha noted that the incumbent government was facing an ‘unusual situation’ in regaining the International Monetary Fund’s (IMF) trust, adding that several difficult decisions were taken for the revival of programme.

However, she said, there was nothing to worry about as Pakistan will soon unlock the loan tranche following assurances to the Fund from friendly countries.

The state minister further said that China has always helped Pakistan in dire times, while the country would also secure funds from Saudi Arabia and the United Arab Emirates (UAE) soon.