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ISLAMABAD: Pakistan incurred foreign debt of $13.539 billion from multiple financing sources in the first 11 months (July-May) of 2021-22 including $2.623 billion from foreign commercial banks (19 percent) against the total budgeted external loans of $14.088 billion for the entire fiscal year.

The Economic Affairs Division (EAD), on Tuesday, released data which shows that the country received $505.65 million from multiple financing sources in May 2022. However, no amount was borrowed from foreign commercial banks during May 2022.

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

The external inflows during the corresponding period (July-May) of the fiscal year 2020-21 were $12.135 billion including $3.609 billion from foreign commercial banks against the budgeted amount of $12.233 billion.

The total receipt of $13.539 billion constitutes $4.254 billion from multilateral, $593.31 million from bilateral, $2.623 billion from foreign commercial banks, and$2.041 billion from issuance of bonds and $3 billion time deposit from Saudi Arabia.

The non-project aid was $ 10.503 billion including $9.181 billion for budgetary support and project aid was $2.009 billion. Guaranteed loans were $ 1.026 billion during the first eleven months of 2021-22.

The government borrowed $ 2.623 billion from foreign commercial banks during the first eleven 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 $ 1.479 billion, the World Bank disbursed $ 1.233 billion, the AIIB $ 39.23 million, IDB $ 68.83 million and IDB (S-Term) $ 1.290 billion.

China disbursed $ 157.62 million in the first 11 months (July-May) of the current fiscal year, USA $ 64.72 million, Korea $ 5.16 million, UK $ 16.01 million, and Germany $ 14.34 million and Saudi Arabia $301.09 million including $100 million in May for imports of oil products.

Copyright Business Recorder, 2022

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