Pakistan Piles Up Over $13 Billion in Foreign Loans During 10 Months of FY22

Pakistan incurred a foreign debt of $13.033 billion from multiple financing sources in the first ten months of (July-April 2021-22) against the total budgeted external loans of $ 14.088 billion for the entire fiscal year.

The Economic Affairs Division (EAD) on Monday released data that shows that the country received $ 262.14 million from multiple financing sources in April 2022.

However, no amount was borrowed from foreign commercial banks during April 2022.

The government has budgeted estimates of foreign assistance of $14.088 billion for the current financial year, including $13.871 billion in loans and $217.44 million in grants from multilateral and bilateral sources.

The external inflows during the corresponding period (July-April) of the fiscal year 2020-21 were $10.195 billion including $3.246 billion from foreign commercial banks against the budgeted amount of $12.233 billion.

The total receipt of $13.033 billion constitutes $4.050 billion from multilateral, $485.97 million from bilateral, $2.623 billion from foreign commercial banks, and $ 2.041 billion from issuance of bonds and $3 billion dollars time deposit from Saudi Arabia.

The non-project aid was $ 10.263 billion including $9.024 billion for budgetary support and project aid was $1.937 billion. Guaranteed loans were $832.53 million during the first ten months of 2021-22.

The government borrowed $2.623 billion from foreign commercial banks during the first ten months of the current fiscal year including $1.140 billion from Dubai Bank, $487.26 million from SCB (London), $61 million from Ajman Bank PJSC, $343.50 million from Suisse AG, UBL and ABL and $591.25 million from Emirates NBD.

Among multilateral development partners, mainly the Asian Development Bank provided $1.454 billion, the World Bank disbursed $1.189 billion, the AIIB $38.87 million, IDB $68.70 million and IDB (S-Term) $1.208 billion.

China disbursed $153.30 million in the first ten months (July-April) of the current fiscal year, USA $64.32 million, Korea $4.81 million, UK $16.01 million, and Germany $13.25 million and Saudi Arabia $201 million including $100 million for import of oil products.