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FX Reserves Rise As Pakistan Got $1.4bn Loan from China & WB

The foreign exchange of Pakistan witnessed handsome inflows as the country received separate tranches of loans, including $1 billion from China and $440 million from the World Bank (WB).

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According to data released by the State Bank of Pakistan (SBP), the foreign exchange reserves of the country surged to a record level of $24.4 billion by the week ending on July 2.

Though the inflows of foreign exchange recorded at over $1.4 billion, the net increase of reserves stood at $1.12 billion after the payment of debt servicing to various institutions. The bifurcation of the data reported that the foreign exchange level maintained by SBP stood at $17.2 billion, and the foreign exchange reserve held by commercial banks stood at $7.18 billion.

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Recently, Pakistan raised $1 billion through Eurobonds. The consistent inflows of foreign exchange provided a comfortable position to reserve level, which will reflect on the macroeconomic indicators of the economy.

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