SBP reserves edge up to $16.38 billion as rupee posts slight gain

ISLAMABAD: Pakistan’s foreign exchange reserves held by the State Bank of Pakistan (SBP) increased by $6 million during the week ended March 27, 2026, according to the latest official data.

The central bank’s reserves stood at $16.38 billion in the period under review, showing a marginal rise that reflected relative stability in external inflows. The country’s total liquid foreign reserves were reported at $21.79 billion.

Of the overall amount, $16.38 billion was held by the SBP, while commercial banks accounted for $5.41 billion.

In the currency market, the Pakistani rupee registered a slight improvement against the US dollar. In the inter-bank market on Thursday, the rupee closed at 279.11 against the dollar, compared with 279.12 a day earlier, gaining Re0.01.

Dollar strengthens in global markets

Internationally, the US dollar moved higher after US President Donald Trump signalled that attacks on Iran would continue, reducing expectations of a ceasefire and lifting demand for safe-haven assets.

The dollar index rose 0.3% to 99.861. At the same time, the euro and the British pound each fell by around 0.3% against the dollar.

Oil prices also climbed sharply, nearing $110 per barrel, amid concerns that escalating geopolitical tensions could prolong supply disruptions.

Gold and silver prices fall

Gold prices in Pakistan dropped significantly on Thursday, following losses in the international market as bullion came under pressure from the stronger dollar and higher oil prices.

According to the All-Pakistan Gems and Jewellers Sarafa Association, the price of gold per tola in the local market fell by Rs7,100 to Rs486,962. The price of 10 grams of gold also declined by Rs6,087 to Rs417,491.

The decline followed a sharp rise a day earlier, when gold had reached Rs494,062 per tola after gaining Rs15,300 in a single session.

In international markets, gold prices fell by $71 to $4,642 per ounce, including a $20 premium. Spot gold was down 2% at $4,660.95 per ounce by 11:22 am EDT after touching a two-week high, while US gold futures slipped 2.6% to $4,686.80.

The shift in sentiment came after Trump’s remarks on continued military action against Iran, which pushed oil prices upward and strengthened the dollar. These developments also raised inflation concerns and reinforced expectations of higher interest rates, a factor that typically weighs on non-yielding assets such as gold.

The market is very focused on Trump's comments, which so far offer little sign of a quick resolution to the energy situation, said David Meger, Director of Metals Trading at High Ridge Futures.

Silver prices in Pakistan also moved lower, falling by Rs350 to Rs7,634 per tola, in line with an almost 4% decline in international silver prices.

Additional pressure in global bullion markets came from reports of a sharp fall in Turkey’s gold reserves and changing demand patterns, including Indian dealers charging premiums for the first time in two months. The stronger dollar also made dollar-priced bullion less affordable for holders of other currencies.