SBP-held foreign exchange reserves fall another $190mn, now stand at $10.31bn

Foreign exchange reserves held by the State Bank of Pakistan (SBP) decreased another $190 million to $10.31 billion, said the central bank on Thursday, with the level staying at less than 1.5 months of import cover.

Total liquid foreign reserves held by the country stood at $16.38 billion as of 6-May-2022, added the SBP. Reserves held by commercial banks clocked in at $6.07 billion. According to Arif Habib Limited, total country's reserves are at the lowest level since December 6, 2019.

"During the week ended May 6, 2022, SBP's reserves recorded a decline of $190 million to $10,308.7 million due to external debt payments," said the SBP in its note.

SBP-held foreign exchange reserves fall another $59mn, now stand at $10.5bn

Reserves held by the SBP have been on a declining trend with Pakistan desperately seeking revival of the International Monetary Fund (IMF) programme, hoping it will pave way for lending from other sources as well.

With the current account deficit topping $1 billion, market experts have voiced concern over Pakistan's balance of payments. The rupee has also come under pressure, falling another 0.91% on Thursday to close at all-time low at 191.77 against the US dollar in the inter-bank market.