The government procured $1.049 billion from foreign commercial banks (around 35 percent) out of total external loans of $2.961 billion in the first five months (July-Nov) of 2019-20 and around 56 percent more than the comparable period of last year ($1.860 billion). This was revealed by the Economic Affairs Division (EAD) data released here on Friday. The government budgeted foreign assistance of $12.957 billion for the current fiscal year including $2 billion foreign commercial loans. The country received $1.149 billion from multilaterals (excluding the first tranche release from the IMF) and $489.29 million bilaterally during July-November 2019-20.

Further $273.45 million has been received under the head of Saudi Arabia-short term (Saudi oil facility) in the current fiscal year so far against the budgeted $3.2 billion.

According to EAD, the government borrowed $1.049 billion from foreign commercial banks compared to $449.51 million during the same period of last year. Dubai Bank disbursed $197.99 million and Ajman Bank $66.69 million in November. The country had received $88.92 million from Ajman Bank and $155 million from the consortium-led by Suisse AG, UBL and ABL in October. Dubai Bank disbursed $193.05 million in September.

Citibank disbursed $148.2 million in August. The country had also borrowed $123.31 million from Dubai Bank and $50 million from a consortium of Credit Suisse in July.

China disbursed only $2.91 million in November bringing the total to $298.14 million in the current fiscal year 2019-20. China disbursed $2.91 million for construction of cross border optical fibre in November. Earlier $133.02 million was released for the Havelian-Thakot road project, $140.16 million for the Sukkur-Multan Motorway, $13.86 million for the Orange Line Metro project and $8.20 for Neelum Jehlum Hydro power project.

The Islamic Development Bank disbursed $351.61 million in the current fiscal year so far out of the total of $1.1 billion budgeted for the current fiscal year.

Asian Development Bank disbursed $606.72 million, United Kingdom $113.14 million, IDA $107.88 million, IBRD $27.85 million, International Fund for Agricultural Development $27.04 million, USA $31.88 million and Japan $21.25 million in the first five months of current fiscal year.

Copyright Business Recorder, 2019