The State Bank reported on Friday that reserves held by the bank declined by $89 million to $9.188 billion during the week ended on Aug 8 as against $ 9.277bn in the previous week. Total reserves of the country stood at $14.264bn. Net foreign reserves held by banks stood at $5.076bn.
The SBP reserves are expected to fall further as the bank paid about $147m to the International Monetary Fund (IMF) this week.
If no inflow is received by the Central Bank this week, reserves may fall below $9bn that may add volatility to the currency market which is already feeling the heat of political uncertainty.
During the week ending on Wednesday, the dollar rose to four-month high and crossed Rs100.