SBP announces decline in foreign reserves

KARACHI: The State Bank of Pakistan (SBP) has announced a decline in foreign reserves, two weeks after a deposit of US$1.16 billion from International Monetary Fund (IMF), ARY NEWS reported.

According to the Central Bank, the total liquid foreign reserves held by the country stood at US$14.06 billion as of September 16.

While giving a breakup of the foreign reserves position, the SBP said it currently holds reserves of US$ 8.346 billion as compared to US$ 5.723 billion held by commercial banks.

It said that during the week ended on September 16, the SBP reserves decreased by US$ 278 million to US$ 8,346.4 million due to external debt repayment.

On Sunday, the Saudi Fund for Development confirmed it will extend for one-year a $3 billion deposit currently placed in the SBP accounts since 2021.

Read More: FOREIGN EXCHANGE: SBP RESERVES DECLINE $176M TO $8.62B

The deposit was to mature on Dec. 5, but that has now been extended to next year, the State Bank of Pakistan said on Twitter.

The central bank also mentioned that the deposit is placed with SBP and is part of its forex reserves.