The State Bank of Pakistan reported a significant rise in foreign exchange reserves, reaching $8.7 billion as of July 14. The reserves nearly doubled in a week due to inflows from various sources, including $2 billion from Saudi Arabia, $1.2 billion from the IMF under a $3 billion standby arrangement, and $1 billion from the United Arab Emirates. Prime Minister Shehbaz Sharif also announced the expected rollover of a $600 million loan from China to further strengthen the reserves. This upswing comes after a prolonged decline in reserves earlier, which had fallen to as low as $2.92 billion on February 3. The recent IMF bailout package has been a crucial factor in restoring the country’s financial position and attracting inflows from other sources.
