Pakistan Borrowed 15% Fewer Loans in 10 Months

Pakistan borrowed over $6 billion from multiple financing sources during the first 10 months (July-April) of the current fiscal year 2024-25, down 14.7 percent compared to $7.1 billion in 10MFY24, revealed the Economic Affairs Division (EAD) data. Total disbursements were $6.086 billion. The country received $5.92 billion in loans and $158.3 million in grants between July and April, against a full-year target of $19.39 billion in external financial assistance. Pakistan also received $2.1 billion from the International Monetary Fund (IMF) under the ongoing loan program. Deposits worth $6 billion were rolled over by key allies, including Saudi Arabia, the United Arab Emirates, and China — a crucial step in maintaining the country’s external financing cushion. Out of the total loan inflows, $2.97 billion came from international financial institutions. Bilateral partners, including China and the United States contributed another $370 million in loans. The country also raised $760 million through external commercial borrowing, while $1.61 billion was mobilized via the Naya Pakistan Certificate initiative, which targets overseas Pakistanis. According to the Economic Affairs Division, Pakistan received more than $3 billion in budgetary support and another $2.63 billion earmarked for various development projects during the 10-month period.