Foreign exchange reserves near $29b

Pakistan's total liquid foreign exchange reserves stood at $26.8 billion as of September 11, 2026, the highest combined stock since September 10, 2021. Of the total reserves, the State Bank of Pakistan (SBP) held $21.4 billion, a record for the central bank, while commercial banks had $5.4 billion. The total deposits of $26.8 billion lifted Pakistan's import cover to 3.03 months, the first clear move above the three-month benchmark since August 2020, according to Arif Habib Limited (AHL). The cover is calculated on a three-month average of imports. The SBP's reserves rose by $3.061 billion during the week ended September 11, 2026, the largest weekly increase since June 27, 2025. The central bank attributed the jump to the receipt of Pakistan's Eurobond proceeds. The $26.8 billion foreign currency reserves remain just below the $27.1 billion level recorded in September 2021, but the official slice within it is now at an all-time high. That mix leaves a thicker external buffer than Pakistan has held for most of the past five years. Furthermore, the rupee closed at 277.26, a gain of Rs0.01 against the greenback. On Wednesday, the Pakistani rupee had settled at 277.27. Meanwhile, gold prices in Pakistan declined on Thursday after a sharp rise a day earlier, even as international prices rebounded strongly from a near six-week low. According to the All-Pakistan Gems and Jewellers Sarafa Association, the 24-karat gold was quoted at Rs453,436 per tola after a drop of Rs3,800. Ten-gram gold was sold at Rs388,749, down Rs3,257. Silver also weakened, falling Rs73 to Rs6,869 per tola. In the international market, the picture was different. Spot gold rose 2.3% to $4,360.36 an ounce as of 1:45 pm EDT. December US gold futures settled 0.3% higher at $4,399.70. The rebound followed a sell-off after the Federal Reserve raised its target range to 3.75%-4.00% on Wednesday. Easing oil prices and a softer US dollar, together with lower 10-year Treasury yields, supported the metal. Crude oil fell to a one-week low, reducing inflationary and opportunity cost pressure on gold. Adnan Agar, Director at Interactive Commodities, said Thursday's international range ran from a low of $4,251 to a high of $4,381, with the market trading near $4,360. "The market went to the lower side yesterday (Wednesday) after the FOMC, but later gold moved back up. Chances are still that it will remain slightly higher," he said. Agar noted that the recent dip in crude oil had been favourable for gold. If oil were to rebound towards $108-$110 a barrel, however, gold could see a downward slide. Rs10 banknote The SBP categorically refuted reports circulating on social media regarding the purported discontinuation of Rs10 banknote and the last date for its exchange, as per an SBP statement. "The reports are baseless and have no substance," it said. The SBP submitted a proposal for the introduction of a new banknote series, which is currently under consideration by the federal cabinet. The matter remains under deliberation and no decision has been taken regarding the replacement or discontinuation of any denomination.