KARACHI:
Owing to external debt payments, the State Bank of Pakistan’s (SBP) foreign exchange reserves fell $367 million over the week, reaching $10.21 billion as of April 18, according to data released on Thursday.
The country’s total liquid foreign reserves stood at $15.44 billion, with $5.23 billion held by commercial banks.
“Earlier, on March 21, 2025, the SBP had reported a week-on-week decline of $540 million,” said Arif Habib Limited Research Head Sana Tawfiq while talking to The Express Tribune.
The central bank attributed the latest drop to external debt payments, stating: “During the week ended April 18, 2025, the SBP reserves declined $367 million to $10,205.9 million due to external debt repayments.”
The Pakistani rupee weakened against the US dollar on Thursday, slipping 0.04% to reach its lowest level in over a year in the inter-bank market. By the end of trading, the rupee stood at 281.07 against the dollar – a level last seen in January 2024. A day earlier, the local currency had closed at 280.97.
The dollar staged a broad retreat in the global market as investor gloom over the lack of progress towards defusing the US-China trade war reasserted itself following an interlude of optimism the previous day.
US assets, including the dollar, rallied on Wednesday after President Donald Trump backed down from threats to fire the head of the Federal Reserve and appeared to soften his stance on China.
Meanwhile, gold prices in Pakistan remained stable, mirroring the lack of movement in the international market. According to the All Pakistan Sarafa Gems and Jewellers Association (APSGJA), the price of gold per tola held steady at Rs352,000. Similarly, the price for 10 grams of gold remained unchanged at Rs301,783.
This followed Wednesday’s fluctuation when gold per tola dropped Rs11,700 to Rs352,000.
On the global front, the price of gold also stayed flat, standing at $3,338 per ounce (including a $20 premium), the same as on the previous day, as per the APSGJA data.
Adnan Agar, Director at Interactive Commodities, stated that gold prices were trading within a defined range without any significant developments to prompt further movement.
“The market is currently positioned at $3,335, with a low of $3,310 and a high between $3,370 and $3,375,” he said. “At the moment, there’s no new trigger influencing the market direction. Any major update, particularly related to China or other significant events, would be necessary to drive further activity.”
He noted that the previous session saw a low of $3,270, from which the market has rebounded.
Internationally, gold prices gained after falling more than 3% in the previous session, helped by a subdued dollar and bargain hunting, while market attention remained focused on any updates on US-China trade relations.
Spot gold rose 1% to $3,321.09 an ounce. Bullion hit a record high of $3,500.05 on Tuesday due to concerns about the US economy, but prices retreated on Wednesday after Trump backed down from threats to fire the head of the Federal Reserve and appeared to soften his stance on China.
