Pakistan's foreign exchange reserves fall to lowest level since Oct 2020

• Foreign exchange reserves held by the SBP declined by 19.48% on a weekly basis. 
• SBP says this decline reflects repayment of external debt. 
• Meanwhile, total reserves drop to its lowest level since June 26, 2020. 

KARACHI: The foreign exchange reserves held by the State Bank of Pakistan (SBP) declined 19.48% on a weekly basis, according to data released by the State Bank of Pakistan (SBP) on Thursday.

On March 25, the foreign currency reserves held by the SBP were recorded at $12,047.3 million, down $2,915 million compared with $14,962.4 million on March 18.

According to the central bank, this decline reflects repayment of external debt, including repayment of a major syndicated loan facility from China.

"The rollover of this syndicated facility is being processed and is expected shortly," the central bank said.

Overall liquid foreign currency reserves held by the country, including net reserves held by banks other than the SBP, stood at $18,554.5 million. Net reserves held by banks amounted to $6,507.2 million.

According to Arif Habib Limited, total reserves dropped to its lowest level since June 26, 2020; while SBP reserves dropped to its lowest level since October 9, 2020.

Earlier today, Pakistani rupee also fell below Rs183-mark for the first time in the history of Pakistan, closing the day at Rs183.48 against the US dollar in the interbank market.