Foreign reserves increase $40.5mn to $23.297 billion

KARACHI: The foreign exchange reserves of the country increased by $40.50 million (+0.17 percent) to $23,297.4 million by the week ended June 25, 2021, State Bank of Pakistan (SBP) said on Thursday.
The foreign exchange reserves of the country were at $23,556.90 million by a week earlier ended June 18, 2021, said the central bank.
The foreign exchange reserves held by the central bank increased by 0.08 percent ($13.30 million) to $16,119.4 million, on a weekly basis as compared with $16,106.1 million recorded on June 18. The central bank gave no reason for the increase in reserves.
Likewise, foreign exchange reserves held by commercial banks increased by $27.20 million (+o.38 percent) to $7,178 million by the week ended June 18, 2021 as compared with $7,150.80 million a week ago.
According to SBP data, the highest ever foreign exchange reserves, earlier, were recorded at US$ 23,098.5 million in fiscal year 2015-16.
It is important to note that remittances being sent by overseas Pakistani workers increased by 34 percent in May, giving a much-needed boost to the government’s hope to collect up to $29 billion by the end of the current fiscal year. The country received $26.736 billion during the first 11 months (July-May FY21), an increase of 29 percent or $6.077bn.
According to State Bank’s data, Pakistan received $2.49 billion in May, compared to $1.865 billion received during the same month of last fiscal year (FY20), an increase of $625 million or 34 percent.
Pakistan borrowed $2.5 billion through Eurobonds on March 30, 2021 by offering lucrative interest rates to lenders aimed at building the foreign exchange reserves. TLTP