Islamabad: (Right Now News) State Bank Governor Jameel Ahmed has stated that the central bank purchased $27 billion from the local market over 3.5 years. This acquisition aimed to boost foreign exchange reserves, indicating increased reliance on the market due to stagnant exports.

During a briefing to the National Assembly’s Finance Committee, Jameel Ahmed mentioned that the economic growth rate is expected to exceed 4% in the third quarter of the current fiscal year. Since January 2023, $4.5 billion has been purchased.

The governor noted that despite repaying $5 billion in loans in April, foreign exchange reserves are rising and are expected to soon surpass $17 billion. Currently, the State Bank holds $16 billion in reserves.

Experts suggest that the substantial dollar purchases have pressured the rupee. Without these purchases, the local currency might have remained stronger. The IMF program has failed to boost non-debt investment.

It is noteworthy that Finance Minister Muhammad Aurangzeb informed the committee that the final regulatory approval for Panda Bonds with China has been obtained. Bonds worth $250 million will be issued in the next 10 days.