The government has borrowed $5.595 billion from multiple financing sources during the first half (July-December) of the current fiscal year 2022-23 (FY23) compared to $9.432 billion borrowed during the same period of last fiscal year, translating into a decrease of 40.6 percent.
The Economic Affairs Division data shows the country borrowed $200 million from foreign commercial banks during the first six months of FY23. The country had received $2.031 billion from foreign commercial banks during the same period of last year.
The decline is primarily due to the country’s failure to revive the International Monetary Fund (IMF) loan programme.
The government procured $478.05 million external loans in December 2022 mainly due to disbursement of $228.24 million by the Asian Development Bank (ADB) compared to $4.560 billion during the same month of the last fiscal year.
The country received $190.72 million under the head of “Naya Pakistan Certificate” during the first half of the current fiscal year including $51.44 million in December 2022.
The government has budgeted foreign assistance of $22.817 billion for the current fiscal year including $7.5 billion for foreign commercial banks.
The country received $3.330 billion from multilateral and $708.05 million from bilateral and $1.166 billion from the International Monetary Fund (IMF) during July-December FY23. The non-project aid was $4.771 billion including $3.994 billion for budgetary support and project aid was $824.06 million.
China disbursed $54.93 million in the first quarter against the government budgeted estimates of $49.02 million for the current fiscal year, however, no money was received in October, November and December.
Saudi Arabia disbursed $600 million against the budgeted $800 million. The US disbursed $13.96 million during the period under review against the budgeted $32.49 million for the current fiscal year. Korea disbursed $18.52 million and France $8.64 million during the first half of the current fiscal year.
The Asian Development Bank (ADB) disbursed $1.905 billion during the first half of the current fiscal year out of $3.202 billion budgeted for the current fiscal year. ADB disbursed $228.24 million in December 2022.
The IDA $608.29 million against the budgeted $1.4 billion, IBRD $81.56 million against the budgeted $1.246 billion and Islamic Development Bank disbursed $16.06 million against the budgeted $3.38 million for the current financial year. IsDB (Short-term) disbursed $161 million in the current fiscal year.
