Pakistan’s foreign exchange reserves have surged to an impressive $18.7 billion, marking their highest level in three years. This significant milestone reflects the country’s improved economic management and robust inflows from remittances, exports, and external financing.
According to the State Bank of Pakistan (SBP), the reserves include $12.4 billion held by the central bank and $6.3 billion by commercial banks. The last time reserves were at a similar level was in late 2021.
Economic experts attribute this rise to recent reforms, enhanced fiscal discipline, and international aid packages aimed at stabilizing the economy. Additionally, the government has implemented measures to curb imports, boosting the balance of payments.
“This increase signals a positive outlook for Pakistan’s economy,” said a senior economist. “It will also help in improving the exchange rate and easing inflationary pressures.”
The news comes as a relief to the business community, which has been grappling with economic uncertainties. Analysts believe the improved reserves will strengthen investor confidence and provide the government with more room to manage external debt repayments.
Despite the positive development, challenges such as high inflation and external debt remain, requiring sustained efforts to maintain economic stability.
