State Bank of Pakistan (SBP) Governor Jameel Ahmed announced that the country’s foreign exchange reserves are projected to surpass $18 billion by June 2026. Unveiling the Monetary Policy Report for February, the Governor highlighted that Pakistan’s macroeconomic stability has significantly improved since August 2025. This buildup is expected to be fueled by a contained current account deficit, projected at 0 to 1 percent of GDP, and resilient workers’ remittances.
The Governor emphasized that the central bank remains committed to its medium-term inflation target of 5 to 7 percent for both FY26 and FY27. Despite recent easing in headline inflation, the SBP decided to maintain the policy rate at 10.5%, a move that surprised markets expecting a cut. Ahmed defended this “tight” stance as a preemptive measure against global commodity volatility and potential domestic shocks. He also revised the GDP growth forecast upward to a range of 3.75 to 4.75 percent for the current fiscal year.
SBP Governor Jameel Ahmed on Monday stated that the current account deficit is projected at 0 to 1 percent of GDP in FY26, which is expected to support a further build-up in foreign exchange reserves to above $18 billion by June 2026.
Read More: https://t.co/MdqC50Wm84 pic.twitter.com/Xv1Y3xxz46— ProPakistani (@ProPakistaniPK) February 9, 2026
The report notes that while external pressures are currently contained, risks persist from geopolitical tensions and global trade fragmentation. Governor Ahmed concluded that maintaining the current prudent policy course is essential to securing long-term economic gains and reaching the benchmark of three months of import cover.
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