KARACHI: The State Bank of Pakistan (SBP) purchased $5.5 billion from the banking market during the June-December period and the market expects the total amount of dollars bought at the end of current fiscal year (FY25) would easily exceed borrowing from the IMF in three years.

Despite this massive purchase of dollars, the foreign exchange reserves of the State Bank fell by more than $500 million during last week, reflecting weak foreign exchange reserves and a poor foreign exchange policy that is unable to manage the huge inflows into the country.

The country is expected to receive over $35bn in remittances this year, in addition to inflows from the IMF, World Bank and a rollover of over $14bn external loans. The remittances received during the first eight months (July to February) of the current financial year have already exceeded by $6bn the........

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