Over $13bn debt incurred in 10 months: EAD

ISLAMABAD: Pakistan incurred a foreign debt of $13.033 billion from multiple financing sources in the first 10 months (July-April 2021-22) including $ 2.623 billion from foreign commercial banks (20 percent) against the total budgeted external loans of $ 14.088 billion for the entire fiscal year.

The Economic Affairs Division (EAD) on Monday released data which shows that the country received $ 262.14 million from multiple financing sources in April 2022. However, no amount was borrowed from foreign commercial banks during April 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-April) of the fiscal year 2020-21 were $10.195 billion including $ 3.246 billion from foreign commercial banks against the budgeted amount of $ 12.233 billion.

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The total receipt of $ 13.033 billion constitutes $4.050 billion from multilateral, $485.97 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 $ 10.263 billion including $9.024 billion for budgetary support and project aid was $ 1.937 billion.

Guaranteed loans were $ 832.53 million during the first 10 months of 2021-22.

The government borrowed $ 2.623 billion from foreign commercial banks during the first ten 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 $ 1.454 billion, the World Bank disbursed $ 1.189 billion, the AIIB $ 38.87 million, IDB $ 68.70 million and IDB (S-Term) $ 1.208 billion.

China disbursed $ 153.30 million in the first 10 months (July-April) of the current fiscal year, USA $ 64.32 million, Korea $ 4.81 million, UK $ 16.01 million, and Germany $ 13.25 million and Saudi Arabia $201 million including $100 million I April for imports of oil products.

Copyright Business Recorder, 2022