Pakistan receives $5.585 billion in funding, including IMF, in first seven months

ISLAMABAD: According to data from the Economic Affairs Division (EAD), Pakistan borrowed a total of $4.585 billion from various sources between July and January of the current fiscal year 2024-25. This figure is lower than the $6.31 billion borrowed during the same period in the previous fiscal year 2023-24.

However, if the $1.03 billion received from the International Monetary Fund (IMF) is included, the total amount borrowed during the first seven months of the current fiscal year would be $5.585 billion, reported the Business Recorder.

The EAD data also revealed that the government had budgeted for $9 billion in time deposits, including $5 billion from the Kingdom of Saudi Arabia (KSA) and $4 billion from SAFE China, for the current fiscal year. Nevertheless, no funds were received under this head during the first seven months of the year. Additionally, there was no mention of any assistance from the United Arab Emirates (UAE).

In early December 2024, Saudi Arabia extended a $3 billion deposit with Pakistan for another year, but this is not reflected in the EAD data, which only covers the first seven months of the fiscal year.

The government had revised its budgeted estimates for the fiscal year 2024-25, reducing the total amount from $19.393 billion to $14.393 billion, including $14.216 billion in loans and $176.29 million in grants. However, this revised estimate does not include any amount from the IMF.

The data further showed that the government had budgeted $3.779 billion from foreign commercial banks for the fiscal year 2024-25. As of January, the country had received $500 million under this head, although the EAD data does not specify which foreign commercial bank provided the loan. It is worth noting that the country did not borrow from commercial banks in November, according to the EAD data.

The government had also budgeted $1 billion from the issuance of bonds, but since no bonds were issued, no amount was received during the first five months of the fiscal year 2024-25.

Committee formed to examine foreign funding received by NGOs

In January, the country received $829.84 million from various sources, compared to $331.59 million during the same period in the previous fiscal year.

During the first seven months of the current fiscal year, the country received $1.126 billion under the “Naya Pakistan Certificate” program, including $199.23 million in January.

The country received a total of $2.322 billion from multilateral sources between July and January 2024-25, including $458 million in January. Additionally, it received $329.10 million from bilateral sources, with $12.68 million received in January. The non-project aid totaled $2.54 billion, including $1.312 billion for budgetary support, while project aid amounted to $2.045 billion during the first seven months of the fiscal year.

The Asian Development Bank (ADB) disbursed $1.048 billion during the period under review, including $139.73 million in January, compared to the budgeted $1.651 billion for the fiscal year 2024-25.

The International Development Association (IDA) disbursed $573.85 million between July and January 2024-25, against a budgeted $1.525 billion for the fiscal year. The International Bank for Reconstruction and Development (IBRD) disbursed $201.50 million, compared to a budgeted $550.22 million.

The Islamic Development Bank (IsDB) provided $265.7 million in short-term disbursements during the first seven months of the fiscal year, against a budgeted $550 million. The Asian Infrastructure Investment Bank (AIIB) disbursed $60.22 million, while the International Fund for Agricultural Development (IFAD) provided $26.12 million, compared to a budgeted $40.45 million for the fiscal year.

China disbursed $99.17 million between July and January, against a budgeted $134.18 million for the fiscal year.

Saudi Arabia disbursed $12.37 million during the first seven months, compared to a budgeted $76.02 million for the entire fiscal year. The United States disbursed $40.05 million in the first five months of the fiscal year, against a budgeted $20.88 million. Furthermore, France provided $102.57 million, exceeding the budgeted amount of $66.30 million.