Total bank loans to the private sector exceeded Rs. 9.2 trillion in the current financial year 2023-24 from Rs. 9.17 trillion by the end of FY23.
According to the State Bank of Pakistan (SBP), net borrowing by the private sector clocked in at Rs. 57.8 billion between July and December 22, 2023, compared to Rs. 267 billion reported in the same period last year, showing a decline of 78.3 percent year-on-year or Rs. 209.4 billion from last year.
According to the SBP, conventional banking branches made lendings of Rs. 1.762 billion to the private sector from July to December 22, 2023, as compared to the credit value of Rs. 349.8 billion in SPLY.
Financing from Islamic banks declined by 25 percent YoY from Rs. 50.9 billion last year to Rs. 38.05 billion this year. Islamic banking branches of conventional banks provided credit to the tune of Rs. 17.97 billion during the period in review compared to a negative impact of Rs. 133.5 billion in SPLY.
The government paid back Rs. 373 billion to the central bank in the first half of FY24 whereas it borrowed an amount of Rs. 3.1 trillion from scheduled banks on account of budgetary support.
