{"id":10556,"date":"2024-11-22T10:28:14","date_gmt":"2024-11-22T10:28:14","guid":{"rendered":"https:\/\/gsrra.com\/?p=10556"},"modified":"2024-11-22T10:28:16","modified_gmt":"2024-11-22T10:28:16","slug":"forex-reserves-rise-29m-to-11-29b","status":"publish","type":"post","link":"https:\/\/gsrra.com\/?p=10556","title":{"rendered":"Forex reserves rise $29m to $11.29b"},"content":{"rendered":"\n

Foreign currency deposits have surged $2.19b in four monthThe central bank said in its latest weekly update on Thursday that the country\u2019s foreign exchange reserves, held by the SBP, decreased $66 million to $8.15 billion in the week ended January 5, 2024 due to debt repayments. <\/em><\/strong><\/p>\n\n\n\n

With the latest weekly surge of $29 million, Pakistan’s foreign exchange reserves, held by the State Bank of Pakistan (SBP), have cumulatively risen $2.19 billion in the past four months, reaching a more than 31-month high at $11.29 billion by November 15, 2024.<\/p>\n\n\n\n

The spike in foreign currency deposits suggested that the supply of US dollars remained higher, which helped the local currency to stay below Rs278\/$ on Thursday.<\/p>\n\n\n\n

The rupee ticked up Rs0.08 to Rs277.96 against the greenback in the inter-bank market. It had closed at a two-month low at Rs278.04\/$ on Wednesday.<\/p>\n\n\n\n

According to the central bank data, the foreign exchange reserves have continued to surge over the past 17 consecutive weeks. They have maintained a non-stop winning streak despite the recent repayment of $1 billion in foreign debt.<\/p>\n\n\n\n

The central bank has bolstered its reserves by purchasing dollars from local currency markets owing to ample supply of foreign currency through robust workers’ remittances and the improvement in exports.<\/p>\n\n\n\n

Out of the surge of $2.19 billion, almost half came in the wake of receipt of the first International Monetary Fund (IMF) loan tranche of $1.03 billion in late September.<\/p>\n\n\n\n

Inflows of remittances hit a four-month high of $3.10 billion in October, maintaining the average of $3 billion a month in the first four months of the current fiscal year compared to $2.5 billion a month in FY24.<\/p>\n\n\n\n

Finance Minister Muhammad Aurangzeb has projected that remittances will grow 12% to $34 billion in FY25, up from $30.25 billion in FY24.<\/p>\n\n\n\n

SBP Governor Jameel Ahmad and Aurangzeb both expect the foreign currency reserves to reach $13 billion by the end of current fiscal year on June 30, 2025.<\/p>\n\n\n\n

A further increase beyond the estimates may be possible after the IMF hinted at providing $1 billion in climate financing to Pakistan.<\/p>\n\n\n\n

Meanwhile, the foreign currency reserves held by commercial banks dropped $27 million to $4.68 billion in the week ended November 15. Accordingly, the country’s total reserves rose $2.2 million to $15.97 billion.<\/p>\n\n\n\n

According to the central bank, the rupee had lost Rs0.37 in the prior three days to a two-month low at Rs278.04\/$ on Wednesday.<\/p>\n\n\n\n

Exchange Companies Association of Pakistan reported that the rupee regained Rs0.05 on a day-on-day basis in the open market, closing at Rs278.94\/$.<\/p>\n\n\n\n

The recovery in the currency was seen after the IMF hinted at providing climate financing of $1 billion.<\/p>\n\n\n\n

Earlier, the Asian Development Bank (ADB) announced that it would lend $500 million to Pakistan. Similarly, Azerbaijan was poised to invest $3 billion, which would help the rupee remain stable.<\/p>\n\n\n\n

The local currency has largely remained steady in the range of Rs277-279\/$ over the past 10 months and is anticipated to stay around current levels till the end of December.<\/p>\n\n\n\n

Reference Link:- https:\/\/tribune.com.pk\/story\/2511109\/forex-reserves-rise-29m-to-1129b<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Foreign currency deposits have surged $2.19b in four monthThe central bank said in its latest weekly update on Thursday that the country\u2019s foreign exchange reserves, held by the SBP, decreased $66 million to $8.15 billion in the week ended January 5, 2024 due to debt repayments. With the latest weekly surge of $29 million, Pakistan’s […]<\/p>\n","protected":false},"author":1,"featured_media":10557,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[2],"tags":[282,132,273,6430,6432,105,36,6433,4381,6431,6434],"class_list":["post-10556","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-sample-category","tag-bri","tag-economy","tag-foreign-exchange","tag-forex","tag-forex-reserves-rise-29m-to-11-29b","tag-geopolitics-2","tag-pakistan","tag-positive-trends-on-economic-front","tag-stable-economy-2","tag-us-dollars","tag-healthy-signs-of-economic-developments"],"jetpack_publicize_connections":[],"_links":{"self":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts\/10556","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10556"}],"version-history":[{"count":1,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts\/10556\/revisions"}],"predecessor-version":[{"id":10558,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/posts\/10556\/revisions\/10558"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=\/wp\/v2\/media\/10557"}],"wp:attachment":[{"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10556"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10556"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gsrra.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10556"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}