Pakistan Received Foreign Loans of $6 Billion in First Half of FY24

Pakistan borrowed $5.968 billion from multiple financing sources during the first half (July-December) of the current fiscal year 2023-24 (FY24) compared to $5.595 billion borrowed during the same period of 2022-23, revealed the Economic Affairs Division (EAD) data. Data further shows that the country received $1.621 billion in December 2023 compared to $478.05 million in December 2022. The government has budgeted $2.4 billion from the International Monetary Fund (IMF) for the current fiscal year 2023-24 and received $1.2 billion as the first tranche of the $3 billion Stand-By Arrangement (SBA) in July 2023, however, the EAD data does not reflect it. Further there is no mention of $1 billion disbursed by the UAE. If the IMF and UAE inflows is added, the total inflows would reach $8.168 billion during the first half of the current fiscal year. The $5.968 billion included $2 billion received from Saudi Arabia under the head of time deposit during July 2023. The data further shows that the government had budgeted estimates of $4.5 billion from the foreign commercial banks for the current fiscal year 2023-24, however no money was received under this head during the first half of current fiscal year. The government had budgeted $1.5 billion from issuance of bonds, however, the country is yet to issue the bonds, hence no amount is received so far. The government had budgeted $17.619 billion from multiple financing sources for the current fiscal year including $17.384 billion loans and $234.60 million grants. The country received $491.45 million under the head of “Naya Pakistan Certificate” during the first half of current fiscal year 2023-24. The country received $2.245 billion from multilaterals and $723.13 million from bilateral during July-December 2023-24. The non-project aid was $3.581 billion including $2.636 billion for budgetary support and project aid was $2.386 billion. China disbursed $508.34 million under the head guaranteed for the JF-17 B project funded by China National Aero-technology Import and Export Corporation (CATIC). China further disbursed 42.18 million in July-December against the government budgeted of $18.54 million for the current fiscal year. Asian Development Bank (ADB) disbursed $589.43 million during the period under review compared to the budgeted $2.086 billion for the fiscal year 2023-24. Saudi Arabia disbursed $595.18 million against the budgeted $600 million under the head of oil facility during July-December 2023-24. The US disbursed $25.09 million in the first half against the budgeted $21.60 million for the fiscal year. Korea disbursed $12.38 million and France $20.15 million during the current fiscal year. The IDA disbursed $1.040 million in July-December against the budgeted $1.489 billion for the current fiscal year and IBRD $117.36 million against the budgeted $840.36 million. IsDB (Short-term) disbursed $100 million in July-December against the budgeted $500 million for the current fiscal year and AIIB disbursed $287.04 million, while IFAD disbursed $23.12 million against the budgeted $42.68 million for the current fiscal year.