Pakistan’s overall foreign exchange reserves have recorded a significant decline of $311 million in a single week, highlighting ongoing pressure on the country’s external account. During the week ending July 25, 2025, the total reserves dropped from $19.91 billion to $19.60 billion, reflecting a 1.5% decrease.

Reserves held by the State Bank of Pakistan (SBP) decreased by $152.7 million, settling at $14.30 billion. This fall is attributed to external debt repayments and other scheduled payments. Meanwhile, commercial banks’ reserves also saw a reduction of $157.8 million, bringing their total down to $5.30 billion.

The continuous fluctuation in reserves underscores the importance of maintaining financial stability through sustained foreign inflows, export growth, and effective economic reforms. Analysts emphasize that controlling imports and ensuring timely inflows from multilateral institutions and friendly countries are crucial to maintaining reserve levels.

The government is expected to introduce further measures to stabilize reserves, strengthen the currency, and maintain confidence in the financial markets.

Pakistan’s foreign exchange reserves dropped by $311 million in one week, reaching $19.60 billion. State Bank reserves fell to $14.30 billion, while commercial banks’ holdings declined to $5.30 billion. The fall is linked to external debt repayments and highlights the need for consistent inflows to stabilize the economy.

Pakistan foreign reserves, State Bank reserves drop, economic stability