KEY POINTS
- Central bank reserves rise modestly despite $500m Eurobond repayment
- Total liquid foreign exchange reserves reach $19.81 billion
- Commercial banks hold $5.39 billion in net reserves
- SBP maintains stable external position through prudent management
ISLAMABAD: The State Bank of Pakistan’s (SBP) foreign exchange reserves inched up by $20 million against the preceding week, reaching $14.42 billion as of October 3, 2025, despite substantial external debt repayments during the period, the latest data released by the central bank showed on Thursday.
According to the SBP, the total liquid foreign reserves held by the country stood at $19.81 billion, including $5.39 billion maintained by commercial banks.
“During the week ended on October 3, 2025, SBP’s FX reserves increased by US$20 million to US$14,420.1 million,” the central bank said in its weekly statement.
The SBP noted that the week included repayment of Pakistan’s $500 million sovereign Eurobond, which was executed on schedule, reaffirming the government’s commitment to timely external debt servicing.
Continued reserve stability
The increase follows a $21 million rise recorded in the previous week, indicating continued stability in the central bank’s reserve position amid improved current account management and sustained inflows from exports, remittances, and official financing.
Economists said the SBP’s prudent management of foreign exchange flows and selective market interventions have allowed Pakistan to maintain reserve stability even while meeting large debt obligations.
They noted that the moderate reserve build-up reflects stronger balance-of-payments discipline and the impact of recent policy measures aimed at reducing import pressures and supporting external sustainability.
Outlook
Analysts expect reserves to remain stable in the short term, supported by expected multilateral inflows, seasonal remittance growth, and export receipts, though external vulnerabilities persist due to global market uncertainty and high oil prices.
The SBP continues to prioritize market-based stability and measured accumulation of reserves to buffer against external shocks and ensure Pakistan’s continued ability to meet its foreign payment obligations on time.
