ISLAMABAD: Pakistan has received a total of USD1.82 billion in foreign assistance during the first quarter of fiscal year 2025-26 (FY26), which includes bilateral and multilateral loans and grants, as well as investments in Naya Pakistan Certificates.
According to data released by the Economic Affairs Division, during the July-September period of FY26, the country received a bilateral grant of USD19.37 million, whereas in September, the grant amount was USD 2.42 million. Major bilateral grant comes from China,USD 9.75 million, Japan, USD 6.16 million, and Germany, USD 3 million.
The total bilateral loan during the July-September FY26 period remained USD 334.8 million, out of which a major component was the Saudi Oil Facility with USD 300 million. Apartfrom this bilateral loanof USD 9.75 million received from China, USD 8.5 million from France, USD 6.16 million from Japan, USD 4.21 million from South Korea, and USD 3.03 million from Germany.
Pakistan receives USD694.53m foreign assistance in July
During September total bilateral loan was USD102 million, out of which an amount of USD 100 million was received under the Saudi Oil facility and USD 2 million from China.The total bilateral grant and loan in the July-September FY26 period stood at US $334.8 million.
Multilateral grant during the July-September FY26 period remained USD21.53 million. Of this, USD 12.95 million came from the IBRD and USD 8.18 million from the IDA. Bilateral loans during the same period amounted to USD 939.28 million. Key lenders included the Islamic Development Bank USD 311.43 million, IDA, USD 287 million, IBRD, USD 144.94 million, and the Asian Development Bank,USD 116.94 million.
Combined multilateral and bilateral grants stood at USD 40.90 million, while loan disbursements totalled USD 1.27 billion in the same period.
The FY26 budget estimates for multilateral grants are USD63.72 million, with loans projected at USD 4.98 billion. Disbursements against Naya Pakistan Certificates in the July-September period amounted to USD 541.57 million, against a total FY26 budget estimate of USD 609 million.
To keep foreign exchange reserves at a comfortable level, Pakistan held USD 9 billion as a term deposit. Out of which the Kingdom of Saudi Arabia provided USD 5 billion, and China Safe Deposit of USD 4 billion.
The IMF lending facility under the Extended Fund Facility (EFF) is not reflected in EAD or Ministry of Finance accounts, as it constitutes the balance of payment (BoP) support and is recorded on the balance sheet of the State Bank of Pakistan.
Copyright Business Recorder, 2025
Comments
Comments are closed for this article.