ISLAMABAD: The government has borrowed $8.123 billion from multiple financing sources including $900 million from foreign commercial banks during the first 10 months (July-April) of 2022-23 compared to $13.033 billion borrowed during the same period of last fiscal year, showing a decline of around 37.7 percent.

The Economic Affairs Division data shows that the country borrowed $900 million from foreign commercial banks during the 10 months of the current fiscal year 2022-23 including $700 million in February. However, no loans were borrowed from foreign commercial banks during April 2023. The country had received $2.623 billion from foreign commercial banks during the same period of last year.

The country received $1.166 billion from the International Monetary Fund (IMF) during the first 10 months (July-April) of 2022-23. Contrary to past practices, the EAD has also listed the loans taken from the IMF. If the IMF loan is excluded, then the country received $6.957 during the first 10 months of the current fiscal year compared to $13.033 billion during the same period of last fiscal year, indicating the slowdown in inflows.

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The government procured $358.61 billion in external loans in April 2023. The country received $677.24 million under the head of the “Naya Pakistan Certificate” during the first 10 months of the current fiscal year including $64.93 million in April 2023. 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 $4.135 billion from multilaterals, $1.243 million from bilateral and $1.166 billion from IMF during July-April 2022-23. The non-project aid was $6.497 billion including $5.337 billion for budgetary support and project aid was $1.625 billion.

The Asian Development Bank (ADB) disbursed $1.975 billion during the period under review compared to the budgeted $3.202 billion for the entire fiscal year. The ADB disbursed $35.20 million in April 2023.

China disbursed $127.89 million during the first ten months of the current fiscal year including $72.96 million in April against the budgeted $49.02 million for the entire fiscal year.

China had disbursed $54.93 million in during the first quarter of the current fiscal year, however, no money was received in October, November, December, January, February, and March. Saudi Arabia disbursed $982.28 million against the budgeted $800 million under the head of the oil facility during the first 10 months.

The USA disbursed $27.71 million during the period under review against the budgeted $32.49 million for the current fiscal year. Korea disbursed $21.31 million and France $32 million during the first 10 months of the current fiscal year.

The IDA $1.173 billion against the budgeted $1.4 billion during the first 10 months including $70.47 million in April, IBRD $151.64 million against the budgeted $1.246 billion and Islamic Development Bank disbursed $16.81 million against the budgeted $3.38 million for the current financial year.

The IsDB (Short-term) disbursed $161 million in the current fiscal year. The AIIB disbursed $550.27 million in the current fiscal year so far, while ECO (Trade Bank) disbursed $54.12 million.

Copyright Business Recorder, 2023