Pakistan’s external borrowing increased by 23.6% during the first two months of the current fiscal year, with the country securing $1.7 billion in external loans between July and August.
According to documents from the Economic Affairs Division, Pakistan received external financial assistance worth $1.7 billion during the period, compared with $1.37 billion during the same period last fiscal year.
The loans obtained during July and August were equivalent to around Rs476 billion, compared with Rs391 billion received during the corresponding period last year.
Project financing accounts for major share
Of the total external financial assistance, $484.5 million was received for various projects, while $1.21 billion was obtained under non-project heads.
International financial institutions provided more than $590 million to Pakistan during the period.
The Islamic Development Bank provided $191.2 million, while the World Bank provided $238.4 million.
The Asian Development Bank also provided $9.57 million in loans to Pakistan during the first two months of the fiscal year.
Germany, Saudi Arabia among contributing countries
Various countries provided a combined $35.2 million in financial assistance during the period, according to the Economic Affairs Division.
Germany provided $12.8 million, while Saudi Arabia contributed $8.9 million.
China provides no financial assistance
China has not provided any financial assistance to Pakistan so far during the current fiscal year, according to the documents.
Pakistan also obtained $629.7 million through Naya Pakistan Certificates during July-August.
In addition, the government obtained a $300 million loan from foreign commercial banks during the period.
