Forex reserves slip to $14.24 bn

Pakistan's foreign exchange reserves fell to $14.24 billion in the week ended on Sept. 5 compared with $14.31 billion previously, the State bank of Pakistan (SBP) said on Thursday. The SBPs reserves fell to $10.74 billion from $10.79 billion a week earlier, while reserves held by commercial banks also fell to $3.50 billion from $3.52 billion a week earlier, the State Bank of Pakistan said. Pakistan agreed in November to an IMF emergency loan package of $7.6 billion to avert a balance of payments crisis and shore up reserves. The fund increased the loan to $11.3 billion in July, and then released the third tranche of $1.2 billion. On Aug. 1, the central bank stopped using foreign exchange to pay for diesel and other refined petroleum products, which will force importers to obtain the dollars they need in the market. The central bank will continue to provide foreign exchange for crude oil imports until Feb. 1 next year.