Pakstan provisionally received $4.565 billion .i.e. 57 percent of budgeted estimates of foreign assistance from multilateral and bilateral donors (July-January) in the current financial year against $4.28 billion during the same period of last year.
The Economic Affairs Division (EAD) revealed that government borrowed $300 million from Industrial and Commercial Bank of China Limited in the month of January, bringing the total borrowing from commercial banks to $1.2 billion in the first seven months of the current fiscal year.
Loans from China
Ministry of Finance (MoF) has finalized arrangements for $600 million commercial loan from two Chinese banks to be utilized for balance of payments and budgetary support and received $300 million in January.
The country borrowed $200 million from Noor Bank PJSC for budgetary support against the budgeted $100 million and $700 million from China Development Bank as non-project aid during the month of September.
In addition, the government issued Sukuk of one billion dollars at a 6.5 percent rate of return during the period under review. The government has also borrowed $19 million from Asian Infrastructure Investment Bank (AIIB) in the current financial year which was not budgeted as per the EAD documents.
The country received $440.92 million in the month of January including $422.43 million loans and $18.49 million grants. The latest figures show that the country provisionally received $4.375 billion in loans and $190.61 million grant in the current fiscal year.
Government to Receive $8 Billion in Foreign Assistance
The government has budgeted foreign assistance of $7.998 billion for 2016-17 including grants and loans against $9.18 billion budgeted for 2015-16. The budgeted estimates include a significant amount of $2.005 billion from commercial banks for 2016-17.
Pakistan received $857.44 million from China in the first seven months of the current fiscal year including $9.48 million in the month of January, surpassing the budgeted $572.3 million for the current financial year. The country has received $561 million during the same period of last year.
Details About Foreign Loans
Asian Development Bank (ADB) disbursed $709.75 million in the current financial year including $35.17 million in the month of January against the budgeted estimates of $1048.2 million. The total disbursed amounts from different associations and countries for the current financial year stood at:
- International Development Association (IDA) $131.8 million
- IDB (S-Term) $212 million
- USA $51.78 million
- International Bank for Reconstruction and Development (IBRD) $144.2 million
- UNHCR $0.49 million
- IDB $30.15 million
- Japan $42.8 million
- UK $131 million
The government received no assistance from the following countries and organizations during the period under review:
- EU
- France
- Korea
- Norway
- Oman
- Saudi Arabia
- UNDP
- Organization of the Petroleum Exporting Countries (OPEC)
To repay other pending loans.
Equally distributed into all Pakistani’s with interest.
We all take loans and then take few more to pay previous ones.
Same applies to country.
Nothing wrong if one can plan properly like Singapore and other East Asian countries did for progress.
Tajarba kar team of lahori butts sb.