External debt, arbitration settlement: Forex reserves decline by $1bn in a week

KARACHI: The country’s total liquid foreign exchange reserves fell sharply by one billion dollars in a week due to external debt servicing and settlement of an international arbitration.

According to State Bank of Pakistan’s (SBP) weekly report issued on Thursday, the total liquid foreign reserves held by the country stood at $17.477 billion as of April 1, 2022 compared to $18.554 billion on March 25, 2022.

Repayment of syndicated loan facility from China: SBP reserves fall massive $2.915 billion

Forex reserves plunge by $844m on external debt payments

During the week under review, the SBP reserves reached below $12 billion mark. Reserves held by the SBP decreased by $728 million to reached $11.319 billion largely due to debt repayment and government payment pertaining to settlement of an arbitration award related to a mining project. Net foreign reserves held by commercial banks stood at $6.158 billion, down $349 million.

Copyright Business Recorder, 2022