Central bank reserves increase to $17.147 billion as Pakistan’s total foreign exchange holdings reach $22.647 billion.
Pakistan’s foreign exchange reserves increased by $58 million during the week ended May 22, 2026, reflecting continued stability in the country’s external sector, according to data released by the State Bank of Pakistan.
The country’s total liquid foreign exchange reserves stood at $22.647 billion as of May 22, compared with $22.589 billion recorded a week earlier.
Reserves held by the central bank increased by $66 million during the week under review, reaching $17.147 billion from $17.081 billion a week earlier.
Meanwhile, foreign exchange reserves maintained by commercial banks declined slightly by $8 million to $5.50 billion, compared with $5.508 billion in the previous week.
Pakistan’s external position has improved considerably over the past two years. The country’s total foreign exchange reserves had fallen to a critically low level of $9.16 billion during fiscal year 2022-23 amid rising external debt obligations and pressure on import payments.
Since then, the reserve position has recovered steadily, reaching $19.269 billion by the end of fiscal year 2024-25.
Market analysts said the current reserve level provides a reasonable buffer against short-term external shocks and supports exchange rate stability.
However, they cautioned that challenges remain as Pakistan continues to face significant foreign debt repayments and increasing import financing requirements.
Experts emphasized that sustaining reserve growth will require stronger export performance, higher foreign direct investment inflows and continued expansion in workers’ remittances.
They added that improving foreign exchange earnings remains crucial for strengthening the external account and reducing vulnerability to global economic and financial uncertainties.
The latest increase in reserves is being viewed as a positive signal for the economy, although policymakers are expected to remain cautious in managing external sector risks in the coming months.
