Pakistan’s foreign exchange reserves posted a sharp jump in FY25. According to the State Bank of Pakistan (SBP), its reserves climbed to $14.51 billion by June 30, 2025. Just a year ago, on June 30, 2024, SBP reserves stood at $9.39 billion. Therefore, Pakistan foreign reserves FY25 rose by $5.12 billion, showing strong improvement in the economy’s external position.
Notably, the central bank credited this increase to a better current account balance and the timely arrival of planned inflows during the year. As a result, the rising Pakistan foreign reserves FY25 help the government stabilize the rupee and manage debt repayments with greater confidence.
Typically, the SBP releases its reserves position every Thursday. However, this early update offers a clear snapshot of the fiscal year-end status. Furthermore, a detailed breakdown is expected tomorrow. Many analysts now expect the new report to confirm that bilateral support and multilateral funding played a big role.
Earlier this week, China rolled over $3.4 billion in loans to Pakistan, which gave the reserves a solid boost. Previously, on June 20, 2025, SBP reserves were at $9.06 billion. Thus, this rollover and other inflows pushed Pakistan foreign reserves FY25 past the $14 billion mark.
Experts argue this reserves growth signals improved investor confidence. Moreover, they believe it will help Pakistan handle upcoming debt repayments without undue pressure. Nevertheless, economists caution that the country must maintain strict fiscal discipline and grow exports to keep this positive trend alive.
Additionally, the government aims to secure more funds from multilaterals and friendly countries. This approach should help reserves stay strong enough to cover imports and defend the currency from sudden external shocks. As a result, the higher reserves give the SBP more room to manage any exchange rate pressures.
In recent years, Pakistan struggled to keep its reserves high enough for smooth imports and debt payments. Now, the Pakistan foreign reserves FY25 boost proves the country can rebuild buffers with careful policy and timely inflows.
Ultimately, this steady growth offers hope that Pakistan’s external sector will stay resilient in the coming months.
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