Pakistan’s total foreign exchange reserves stood at $16.18 billion as of January 17, 2025, according to the State Bank of Pakistan (SBP).
However, the reserves held by the SBP decreased by $276 million, dropping to $11.44 billion during the same period, mainly due to external debt repayments. At the same time, Pakistan’s net foreign reserves held by commercial banks were reported at $4.74 billion.
SBP explained that the decline in reserves was a result of external debt obligations. SBP Governor Jameel Ahmed also noted that Pakistan’s foreign reserves are among the lowest in the region compared to its import bills.
Governor Ahmed shared his concerns with the Senate Standing Committee on Finance, highlighting expectations for further inflation increases in the upcoming months and the urgent need for Pakistan to meet $4.5 billion in external debt payments by July 2025. On a positive note, he confirmed that a scheduled UAE safe deposit will be cleared on time and mentioned that Pakistan’s current account had shown a surplus for the first time in 20 years as of November 2024.