Key Takeaways
- State Bank of Pakistan (SBP) reported a significant increase in foreign exchange reserves.
- The rise is attributed to government inflows, bringing total reserves to $23.99 billion.
- SBP Governor Jameel Ahmad predicts reserves will reach $20.2 billion by December 2026.
The State Bank of Pakistan (SBP) has announced a substantial rise in its foreign exchange reserves, with the total amount increasing by $1.94 billion during the week ending July 3, 2026. According to official figures, the country’s overall liquid foreign exchange reserves now stand at $23.99 billion as of June 3, 2026.
Of this total, the SBP holds $18.47 billion in foreign exchange reserves, while commercial banks manage $5.52 billion. The increase is primarily attributed to government inflows from various sources, including multilateral institutions and domestic revenues.
In a statement released by the central bank, it was noted that during the week ending July 3, SBP’s foreign exchange reserves increased by US$1,944 million to US$18,471.0 million. This growth is directly linked to the realisation of Government of Pakistan (GoP) inflows.
Speaking at the conclusion of the two-day Pakistan Banking Summit 2026 on Wednesday, State Bank of Pakistan Governor Jameel Ahmad expressed optimism about future reserves. He stated that by the end of December 2026, SBP’s foreign exchange reserves would likely reach a new all-time high of $20.2 billion.
Ahmad further highlighted that foreign exchange reserves have grown significantly over the past few years, increasing sixfold to $18.4 billion by the end of fiscal year 2026 from less than $3 billion in February 2023. This growth is seen as a positive indicator for Pakistan’s economic stability and international trade.
The increase in foreign exchange reserves has implications for various sectors, including imports, debt servicing, and overall financial health. Analysts are cautiously optimistic about the impact of these inflows on Pakistan’s economy, particularly given the ongoing challenges faced by the country.
