ISLAMABAD: Pakistan’s foreign exchange reserves have crossed the $20 billion mark, according to the Minister of State for Finance, Bilal Azhar Kayani.
Speaking at an event in Islamabad on Thursday, the minister said the State Bank of Pakistan currently holds $15 billion. In addition, commercial banks possess $5.5 billion in foreign reserves.
This marks a significant recovery from previous years when the country’s reserves were critically low. The increase reflects a stronger economic outlook and improved macroeconomic stability.
Kayani also noted that both inflation and the policy rate have declined. He said the government now aims to ensure sustainable and inclusive growth in the coming months.
To support this goal, the government is introducing tariff reforms to boost exports. The finance minister also mentioned ongoing digitization efforts and reforms within the Federal Board of Revenue (FBR) to enhance tax collection.
Meanwhile, the Pakistan Bureau of Statistics (PBS) has reported mixed economic signals. Pakistan’s trade deficit widened to $2.75 billion in July 2025, showing a 16.02% increase from June.
Exports in July 2025 stood at $2.697 billion. This is 16.91% higher than the $2.307 billion recorded in July last year. On a month-on-month basis, exports also rose by 8.88% from June 2025.
However, imports also climbed sharply. In July 2025, imports were valued at $5.449 billion, up 29.25% compared to July 2024. This growth pushed the trade deficit up by 44.16% compared to the same month last year.
Despite the growing trade gap, the rise in reserves is seen as a positive step. Experts say it will help the country manage external payments and maintain investor confidence.
The announcement that Pakistan foreign exchange reserves exceed $20 billion signals improved financial stability and may open doors to more foreign investment in the future.
For full details on the Pak‑US trade agreement, see the Ministry’s presentation in the National Assembly.
