The Government of Pakistan is working on a plan to raise $4.9 billion in external commercial financing for the fiscal year 2025–26, according to reliable sources.
The strategy includes securing $2.64 billion in short-term loans from international commercial banks at expected annual interest rates between 7% and 8%. These loans are expected to come without strict conditions or performance benchmarks.
Additionally, the government aims to obtain $2.27 billion through long-term borrowing from commercial lenders. As part of this plan, Pakistan is engaging with four major international banks.
Efforts are underway to acquire $1.1 billion from the Industrial and Commercial Bank of China (ICBC), along with $500 million each from Standard Chartered Bank and Dubai Islamic Bank. Moreover, a commercial guarantee is being pursued to support a $500 million loan from the Asian Development Bank (ADB).
These financing efforts are aligned with Pakistan's broader strategy to meet its external financing needs and strengthen its foreign exchange reserves. The International Monetary Fund (IMF) has set a target for Pakistan to increase its reserves to $13.9 billion by the end of June, with the State Bank's current reserves nearing $14 billion—enough to cover three months of imports.