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ISLAMABAD: Pakistan incurred foreign debt of $10.195 billion from multiple financing sources during July-April of 2020-21 including $3.246 billion from foreign commercial banks (32 percent) against the total budgeted external loans of $12.233 billion for the entire fiscal year 2020-21.

The Economic Affairs Division (EAD) data, released on Tuesday, shows that in April 2021, the country received $2.782 billion external inflows from multiple financing sources including $126.33 million from foreign commercial banks and $2.5 billion from issuance of bonds.

In the corresponding period (July-April) of fiscal year 2019-20, the external inflows were $7.381 billion, which were around (56 percent) of the annual budgeted amount of $12.958 billion.

The total receipt of $10.195 billion constitutes $9.973 billion loans and $222.23 million of grants.

The government borrowed $3.246 billion from foreign commercial banks, $2.5 billion from bonds issuance, $502.75 million commodity financing, while $1 billion was received as safe deposits from China.

According to the data, the government procured $3.246 billion loans from foreign commercial banks during July-April 2020-21, including $34.62 million from Ajman Bank, $526.33 million from the Standard Chartered Bank (London) including $126.33 million in April, $815.11 million from Dubai Bank, $200 million were received from the consortium-led by Suisse AG, UBL, and ABL, $370 million from Emirates NBD, and $1.3 billion from the ICBC, China.

The bilateral and multilateral development partners disbursed $3.449 billion during the period under review (July-April) against the budgetary allocation of $5.811 billion for fiscal year 2020-21.

Among the multilateral development partners, the Asian Development Bank provided $1.256 billion against the budgeted estimates of $1.470 billion followed by the World Bank’s $960.91 million against the budgetary allocation of $2.257 billion.

While from bilateral sources, France, USA, and China provided $38.93 million, $98.07 million, and $147.52 million, respectively.

Copyright Business Recorder, 2021

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