SBP Acting Governor Says Pakistan ‘Over-Financed’ 

Acting Governor of the State Bank of Pakistan

Acting Governor of the State Bank of Pakistan (SBP), Dr. Murtaza Syed, stated on Friday that Pakistan is “over-financed” as a result of the recent agreements for an additional $4 billion in financing from friendly nations. 

Dr. Syed claimed that the International Monetary Fund programme has insured that the nation’s finance needs will be fully covered over the course of the following 12 months during a meeting with the top management of the Pakistan Stock Exchange (PSX). According to a press statement from the PSX, “this will give Pakistan’s foreign exchange reserves in 2022–2023 an additional boost.” 

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Foreign Exchange Reserves

Dr. Syed emphasised that extreme strains on Pakistan’s currency, current account, and foreign exchange reserves are only temporary in nature. According to him, the rupee saw severe pressure in June and July as a result of a stronger dollar globally, a worsening current account deficit, and internal political unrest. 

The acting governor stated that imports were anticipated to decrease in the upcoming months due to a moderating of local demand brought on by policy actions as well as a moderating of global commodity prices.