Islamabad: According to the latest documents issued by the Economic Affairs Division, Pakistan has received more than $3 billion in external loans and financial assistance during the first five months of the current fiscal year, i.e., July to November, which is significantly more than the same period last year.
The document states that Pakistan received $2.66 billion in external financing in the first five months of the last fiscal year, while this amount increased to more than $3 billion during the same period this fiscal year, recording an increase of $364 million.
According to the Economic Affairs Division, international financial institutions provided Pakistan with $1.25 billion during this period, while $807.6 million in financial assistance was received from various friendly countries. In addition, $965.9 million in investment was also made under the Naya Pakistan Certificate, which the government is calling the trust of overseas Pakistanis.
The document also revealed that the total value of external loans obtained from July to November is Rs858.27 billion in Pakistani currency, which is Rs117 billion more than the Rs741 billion obtained in the same period last year.
According to the details, more than Rs531 billion in loans were obtained under non-project aid, of which more than Rs273 billion was used for budget support. According to experts, budget support loans play an important role in supporting government expenditure, but their burden ultimately falls on the national exchequer.
The Economic Affairs Division said that the Islamic Development Bank provided a short-term loan of Rs 109 billion, while a Saudi oil facility of Rs 141.76 billion was also obtained during the five months. This facility is equivalent to $ 500 million and is considered important to meet energy needs.
According to the document, more than Rs 327 billion in loans were obtained for various development projects, including infrastructure, social sector and energy projects. In addition, Pakistan also received grants of Rs 15.32 billion during July-November.
The Economic Affairs Division said that a total of about $ 20 billion in external financial assistance is estimated to be received during the current fiscal year. According to economic experts, although these funds can support the economy, a continuous increase in loans can also cause financial pressure in the future.
Pakistan received more than $3 billion in external loans in five months, a significant increase compared to last year
Leave a Reply
Must Read
The Pakistan Observer brings the latest Pakistan news, breaking updates, business news, forex rates, lifestyle stories and expert opinion.