Pakistan’s foreign exchange reserves are expected to come under severe pressure this month as large external debt repayments fall due, potentially wiping out nearly one-third of the State Bank of Pakistan’s dollar holdings.

Financial projections indicate billions of dollars in repayments scheduled throughout April, including sovereign loans and commercial obligations. Economists warn that such a concentrated outflow could significantly weaken the country’s external buffer if fresh inflows or rollovers do not materialize in time.

The looming payments highlight Pakistan’s continued dependence on external financing and the delicate balance between debt servicing and currency stability.

Analysts caution that without timely multilateral support or renewed investor confidence, the sharp reserve decline could intensify pressure on the rupee and complicate monetary policy decisions in the coming months.