Foreign exchange reserves held by the State Bank of Pakistan (SBP) decreased by $328 million on a weekly basis, clocking in at $10.56 billion, showed data released on Thursday, as the country’s import cover continued to weaken.

In its statement, the central bank said that the reserves declined due to external debt and other payments.

Total liquid foreign reserves held by the country stood at $16.67 billion on April 23, 2022, stated the SBP. Net foreign reserves held by commercial banks stood at $6.11 billion.

SBP-held reserves increase marginally, now stand at $10.89bn

Last week, SBP-held foreign exchange reserves recorded a marginal improvement as they increased $36 million on a weekly basis to reach $10.89 billion.

Facing depleting foreign exchange reserves, the South Asian economy has been looking to revive the International Monetary Fund’s (IMF) Extended Fund Facility (EFF) and get a rollover of a major syndicated loan facility from China.

Reports indicate that technical level talks with the IMF have begun, but it could be a while before the next disbursement is made by the lender. Meanwhile, a low level of reserve-level, and a high current account deficit have continued to add pressure on the rupee that depreciated 0.23% against the US dollar on Thursday to close near the 186-level.