SBP Reserves Increase by $141 Million to Cross $16 Billion. Pakistan’s foreign exchange position showed a positive improvement this week as the State Bank of Pakistan (SBP) reserves increased by $141 million, pushing the country’s liquid reserves beyond the $16 billion mark. The latest data reflects growing stability in Pakistan’s external finances at the start of 2026.
According to official figures released by the SBP, liquid foreign exchange reserves reached $16.056 billion for the week ending January 2, 2026, strengthening confidence in the country’s monetary outlook.
Pakistan Total Foreign Exchange Reserves Cross $21 Billion
In its weekly bulletin, the State Bank of Pakistan confirmed that total foreign exchange reserves stood at $21.192 billion. This figure includes reserves held by the SBP as well as those maintained by commercial banks operating in the country.
The steady rise in reserves signals improved inflows and better foreign exchange management, offering relief amid Pakistan’s ongoing efforts to stabilize its economy.
Commercial Banks Reserves Also Record Growth
Alongside the SBP’s gains, foreign exchange reserves held by commercial banks increased by $40 million during the same period.
By the end of the reporting week, banks’ reserves reached $5.137 billion, contributing to the overall increase in Pakistan’s total reserves. This parallel growth reflects stronger liquidity across the banking sector.
Breakdown of Pakistan Foreign Exchange Reserves
| Category | Amount (USD) |
|---|---|
| SBP Liquid Reserves | $16.056 billion |
| Commercial Banks’ Reserves | $5.137 billion |
| Total Foreign Exchange Reserves | $21.192 billion |
This balanced rise across both state and private institutions points toward improved foreign currency inflows and controlled outflows.
Market Outlook: SBP Reserves Expected to Rise Further
Despite global economic uncertainties, Topline Securities maintains an optimistic outlook for Pakistan’s reserve position.
According to the brokerage firm’s projections, SBP liquid reserves are expected to reach $17.4 billion by June 2026, provided current trends continue. This forecast suggests sustained foreign inflows and prudent monetary management in the coming months.
Why Rising SBP Reserves Matter for Pakistan
An increase in SBP reserves carries significant economic implications:
- Strengthens the Pakistani rupee
- Enhances the country’s ability to meet external debt obligations
- Improves investor confidence
- Supports import financing, especially for energy and essential goods
- Signals better macroeconomic stability
Crossing the $16 billion threshold is particularly important as it provides a buffer against external shocks.
Economic Context: Gradual Improvement in 2026
The rise in reserves comes at a time when Pakistan is navigating fiscal reforms, trade adjustments, and external financing strategies. While challenges remain, steady reserve growth indicates progress toward stabilizing the balance of payments.
The SBP’s consistent reporting and reserve accumulation are also viewed positively by financial markets and international stakeholders.
Conclusion
The $141 million increase in SBP reserves, taking total holdings beyond $16 billion, marks a positive start to 2026 for Pakistan’s external finances. Combined with higher commercial bank reserves, the country’s total foreign exchange holdings now stand at $21.192 billion.
With analysts projecting further growth toward $17.4 billion by June 2026, Pakistan’s reserve position appears to be on a cautiously optimistic path, supporting economic stability and strengthening confidence in the country’s financial outlook.
