In a major development reflecting growing confidence in the country’s economy, domestic growth, and strong economic policies, Pakistan’s foreign exchange reserves have reached their highest level since March 2022.

The State Bank of Pakistan announced that the foreign exchange reserves stood at $15.9 billion, while total reserves have reached $21.1 billion — enough to cover over 2.6 months of the country’s imports.

Economists attribute the rise in reserves not to external borrowing but to domestic growth and increased investor confidence.

Data shows that the external debt-to-GDP ratio has fallen from 31 per cent to 26 per cent, while forward foreign exchange liabilities have decreased by around 65 per cent, significantly reducing future economic pressure.

State Bank statistics indicate that reserves in 2023 were just $2.9 billion, meaning that current reserves represent an increase of approximately 5.5 times compared to last year.

According to economists, this increase was not possible due to short-term measures but was a clear sign of recovery and qualitative change.

Experts said this growth is not the result of some stop-gap arrangements — it shows that Pakistan is becoming less economically vulnerable, businesses are feeling more confident, and the country is moving towards long-term stability.

Experts point out that Pakistan is now moving out of a debt-based survival policy and is heading towards sustainable external economic stability, and this move is being considered a positive development for the country’s economic future.