Pakistan’s Foreign Reserves have been under immense pressure during the past few years, previously reported in November; Pakistan’s foreign reserves were decreased by $95 which was observed in October 2017 according to State Bank of Pakistan (SBP) data. At that time Pakistan held total liquid foreign reserves stood at $19,842.8 million.
Now the latest foreign reserves position released by State Bank of Pakistan SBP indicated the further dent in the foreign reserves, the country currently holds $18,828.7 million on February 16, 2018. This means in merely 4 months a decrease of nearly $1 billion is witnessed in foreign reserves.
According to the weekly breakup data released by SBP on Thursday, foreign reserves held by SBP are at $12,703.7 million and net foreign reserves held by other commercial banks are $6,125.0 million.
Moreover, week ending on February 16, SBP’s reserves witnessed decrease of $130 million reaching to the total $12,704 million, this was due to external debt and official payments on SBP’s head.
The continuous fall of foreign reserves is quite daunting for the country’s economy, $1 billion is lost in foreign reserves just in four months puts the serious question marks on the performance of finance ministry. The trade deficit is also widening faster than ever, during the first quarter of the fiscal year 2018, Pakistan’s trade deficit reached $9.01 billion an increase of 29.75% as compared to previous period.