Shaukat Korai

The State Bank of Pakistan has released updated data on Pakistan’s foreign currency deposits and borrowings from abroad, indicating broadly steady growth in banks’ foreign exchange liabilities through November 2025, despite month-to-month fluctuations across key categories.

According to SBP data, total foreign currency deposits held by banks showed an overall upward trend over the review period. In June 2025, foreign currency deposits stood at $6,987.82 million. The figure slipped to $6,921.38 million in July before rising to $7,004.40 million in August.

Deposits continued to increase in subsequent months, reaching $7,055.66 million in September 2025 and $7,018.41 million in October. However, in November 2025, total foreign currency deposits declined to $6,877.33 million, reflecting a modest dip compared to the preceding months.

In contrast, special foreign currency deposits recorded a consistent decline throughout the period. These deposits stood at $246.99 million in June 2025 and gradually fell to $216.09 million by November 2025.

Foreign currency value accounts, meanwhile, displayed limited volatility. The category amounted to $248.47 million in June 2025 and increased gradually, peaking at $259.70 million in October, before rising further to $261.26 million in November 2025.

Foreign currency borrowings from abroad showed more pronounced fluctuations. Total FCY borrowings were recorded at $1,589.14 million in June 2025 and rose to $1,850.35 million by August. The figure increased further to $1,987.14 million in September before surging sharply to $2,628.67 million in October 2025. Borrowings remained elevated in November at $2,402.98 million.

The data also highlights the combined trend in banks’ overall foreign exchange liabilities, which include both deposits and borrowings. Total FX liabilities stood at $9,975.28 million in June 2025 and increased steadily over the following months, reaching $10,271.22 million in October and rising further to $10,336.68 million by November 2025.

The latest SBP release provides insight into evolving foreign currency inflows and external borrowing patterns within Pakistan’s banking sector, offering an important snapshot of balance sheet dynamics amid changing external financing conditions.

Credit: INP-WealthPk