Assalam-o-Alaikum, my dear readers! I hope you are all happy and doing well. When I was small, my abba kept a tin gullak on top of the almari in our Faisalabad home. Every Friday, he dropped some coins into it and said, “Bachat hi izzat hai — savings are respect.” I never forgot that line.
Well, our country has been filling its own gullak too. Slowly. Quietly. In February 2023, Pakistan’s foreign reserves were under $3 billion — the tin was almost empty, and honestly, we all held our breath. Today? $21.5 billion! More than seven times bigger. The State Bank’s governor shared this happy news with big investors in Bangkok. But tell me, what does a full gullak mean for your kitchen and mine? Come, let me explain in very simple words.
Pakistan Foreign Reserves: The Big Numbers
Let me first explain what foreign reserves are. Foreign reserves are like a country’s savings. They are dollars and other foreign money that a country’s central bank keeps safe. A country uses these savings to buy things from other countries and to pay its debts.
Now let me tell you the numbers. SBP Governor Jameel Ahmad spoke to foreign investors in Bangkok. He said that Pakistan’s foreign reserves were under $3 billion in February 2023. That was a very scary time. The country’s savings were almost empty.
But by October 9, 2026, the reserves had grown to $21.5 billion. That is more than seven times bigger! This news was shared in an official SBP press release on October 17, 2026. The rise in Pakistan foreign reserves did not happen in one day. It took more than three years of careful planning and hard work.
The governor also shared another good number. The SBP’s forward liabilities fell from over $5.7 billion to below $1 billion. Forward liabilities are like promises to pay dollars in the future. When these promises go down, the country’s savings become stronger and safer.
The weekly data released on October 16 also looked good. The SBP-held reserves stood at $21.4695 billion, up by $15.8 million in one week. Commercial banks held $5.3938 billion, up by $50.1 million. The total liquid reserves of the country reached $26.8633 billion.
How Did Pakistan Build Its Reserves?
This is the most important part of the story. Many people may ask: did Pakistan borrow this money? The answer is no. And that is a very good thing.
The SBP press release said the reserves were built through SBP’s own FX purchases. FX means foreign exchange. In simple words, the central bank bought dollars from the market with its own planning, instead of taking new loans.
The country’s external debt rose only marginally over the last three years. Marginally means very little. So the savings grew without adding big new debts. This is a healthy way to build reserves.
What helped this growth? The SBP said an almost balanced current account in FY26 helped a lot. The current account is like the country’s monthly budget with the world. When it is balanced, it means the money coming in and going out are almost equal.
The SBP also made new rules for exchange companies. It encouraged people to send remittances through proper bank channels. Remittances are the money that Pakistanis working abroad send home. These steps brought more dollars into the official system. So the growth of Pakistan foreign reserves is real and healthy. It was earned, not borrowed.
What Did Investors Hear in Bangkok?
The governor met the investors on the sidelines of the IMF and World Bank Group annual meetings in Bangkok. These meetings ran from October 12 to 17, 2026. Leaders and money experts from all over the world come to these meetings.
Jameel Ahmad met senior executives from big global banks and companies. These included JP Morgan, Citibank, Jefferies, Deutsche Bank, Barclays, Bank of America, MSCI, Standard Chartered, and Mitsubishi UFJ. He also met central banks, global credit rating agencies, and bilateral partners. The governor’s message about Pakistan foreign reserves impressed the investors. Big banks like to see strong savings before they invest money in a country.
The governor shared more good news with them. Inflation has fallen from very high levels in FY23 to almost within the target range in FY26. This happened even though oil prices gave a big shock. Lower inflation means prices rise slowly, which is good for common people like us.
Real GDP growth reached 3.7 percent in FY26. GDP growth means the country’s economy is growing. It is projected to be between 3.5 and 4.5 percent in FY27.
Pakistan’s primary fiscal balance posted a third straight annual surplus in FY26. This means the government earned more than it spent on its daily work, for the third year in a row. Because of this, the public debt-to-GDP ratio is going down.
The governor also told investors that a staff-level agreement has been reached with the IMF for the EFF and RSF reviews. EFF and RSF are IMF programs that support Pakistan’s economy. He said this has improved investor confidence and helped Pakistan return to global capital markets.
What Does This Mean for You?
You may ask: what does this big money news mean for a common person like me? Let me explain in simple words.
When a country’s reserves are strong, the country can pay for imports like oil and medicines easily. It can also pay its foreign debts on time. This keeps the country’s money system stable. When Pakistan foreign reserves are strong, the whole economy feels safer. It is like a family that has savings in the bank. They sleep better at night.
A stable system can help keep the rupee strong against the dollar. When the rupee is stable, prices of imported things do not jump suddenly. This is good for every family’s monthly budget.
Strong reserves also give confidence to foreign investors. When big companies trust Pakistan’s economy, they invest here. New investment can bring new jobs for our young people.
But let me be honest with you. Good numbers on paper do not fix everything in one day. Common people still face high prices and tough times. The real test is whether this good news reaches the kitchen of every home. Here at Pak Unfiltered, we will keep watching and telling you the truth.
Keep Reading About Pakistan Foreign Reserves
This story is connected to other good news I shared with you. Last month, I wrote about Pakistan chairing the IMF and World Bank boards in 2027, a first since 1953. I also explained the weekly inflation numbers and which prices went up or down. Reading them together will give you the full picture.
For the original reports, see the SBP press release story on Trade Chronicle and Business Recorder’s report on the SBP governor’s Bangkok meetings.
Let us hope Pakistan foreign reserves keep growing in the coming months. A strong Pakistan means a better life for all of us.
Take care, my dear readers. If you have any questions about this story, please visit our Contact Us page at https://pakunfiltered.com/contact-us/ and ask me anything. I will try my best to answer your questions.
