Foreign exchange reserves held by the State Bank of Pakistan (SBP) decreased a massive $846 million on a weekly basis, clocking in at $16.2 billion, showed data released on Thursday.

The reserves decreased due to external debt and other payments, stated the central bank.

Last week, SBP-held foreign exchange reserves were down $562 million, taking the cumulative fall to over $1.4 billion.

Meanwhile, total liquid foreign reserves held by the country stood at $22.5 billion on January 21, 2022, stated the SBP. Net foreign reserves held by commercial banks stood at $6.3 billion.

Pakistan has been looking to build its foreign currency reserves on the back of loans, remittances, and higher exports. However, foreign direct investment continues to be an area of concern for policymakers.

The reserves level is critical for Pakistan to build an import cover with the bill crossing $6 billion each month, putting pressure on the currency that fell to its weakest level against the US dollar in December last year. It closed at 176.98 against the US dollar in the inter-bank market on Thursday.