Pakistan’s foreign-exchange position has improved notably since the turbulent time of FY23. The country’s total forex reserves were at a precarious low of $9.16 billion at the end of June 2023, and rose to $13.99bn in June 2024 and then to $19.27bn in June 2025. But beneath the surface calm, liquidity pressures and structural weaknesses continue to simmer.
Massive forex liquidity is required to service external debts, import goods and services, and repatriate funds abroad by multinational companies operating in Pakistan.
While speaking at a press conference in July in Karachi, State Bank Governor Jameel Ahmed had said $25.9bn will be spent on external debt servicing during this fiscal year. That’s a huge amount considering our balance of payments (BOP) position. On the other hand, imports of goods and services continue to outpace export growth.
According to the latest BOP statement, Pakistan’s imports of goods and ser
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