ISLAMABAD -- Pakistan had borrowed $434.5 million loan from external sources during the month of November that helped in building the country's foreign exchange reserves.
Pakistan had received $2.96 billion as loan from multilateral and bilateral sources and commercial banks in five months (July to November) of t he current fiscal year. The amount is over 22.8 percent of the annual borrowing. The government of Pakistan had projected to borrow $12.957 billion from multilateral and bilateral creditors and commercial banks in the year 2019-20. However, borrowing of $991 million from the International Monetary Fund (IMF) is not part of the $2.96 billion that government borrowed in five months of the current fiscal year.
The borrowing amount would increase in next month when the government would include the data of loans that Pakistan had taken in current month. In ongoing month, the Asian Development Bank ADB (ADB) had approved two different loans for Pakistan worth of $1.3 billion. Pakistan and World Bank had also signed loan agreement worth $406.6 million for Khyber Pass Economic Corridor (KPEC) Project in December.
The breakup of loan $2.96 billion that government borrowed in five months showed that bilateral countries had given loan of $489.3 million, multilateral had disbursed $1.15 billion and commercial banks had given loan of $1.05 billion during first five months of the current fiscal year. Meanwhile, the government has also borrowed $273.5 million from Saudi Arabia as short-term loan.
The data showed that government borrowed $1.05 billion from foreign commercial banks in July to November period. The federal government had budgeted to borrow $2 billion foreign commercial loans during ongoing financial year...