ISLAMABAD   -    Despite revival of International Monetary Fund)’s loan programme, Pakistan has not yet received major financing from the bilateral and multilateral sources during the first two months (July and August) of the current fiscal year amid declining foreign exchange reserves.

Pakistan has received only $439.32 million from international financial institutions and other countries during July and August period of the current fiscal year at the time when the country needs dollars to improve its reserves and currency value. The country had received $1.16 billion from the IMF but it is not included in the data of Ministry of Economic Affairs. Before the IMF’s executive board meeting (August 29), it was considered that the revival of IMF’ programme would pave way for receiving loan from other international creditors.

Meanwhile, officials claimed that some loans are in the pipeline, which would be disbursed in next few weeks. 

Minister of State for Finance and Revenue Dr Aisha Ghous Pasha on Wednesday last had said that Pakistan is expecting to receive $1.5 billion from Asian Development Bank (ADB) and $500 million from Asian Infrastructure Investment Bank (AIIB). Meanwhile, some friendly countries would also make investment in Pakistan.

In July-August this year, the government had received $233.07 million from the bilateral and $206.25 million from multilateral sources, making the overall monthly borrowing at $439.32 million. The breakup of $233.07 million received from bilateral sources showed that Saudi Arabia had provided oil on defer payment facility worth of $200 million in July and August period as against annual projection of $800 million. 

United States has disbursed $8.3 million, China $4.3 million, France $3.21 million, Germany $0.33 million, Japan $0.68 million and Korea $15.65 million in first two months of the current fiscal year.

In multilateral sources, IDA of the World Bank has disbursed $100.64 million, Asian Development Bank (ADB) $70.36 million and International Bank for Reconstruction and Development (IBRD) $22.33 million in first two months of current fiscal year. 

Asian Infrastructure Investment Bank (AIIB) has released only $2.47 million for Pakistan, according to the data of the ministry of Economic Affairs.

The government has budgeted to receive $22.817 billion from international sources during the ongoing financial year. Pakistan would receive $1.039 billion from bilateral and $7.675 billion from the multilateral sources during the year 2022-23. Meanwhile, the country would generate $2 billion from issuance bonds in international market and $3 billion from the IMF. Similarly, it would borrow $7.5 billion from the commercial banks and $1.63 billion from the Naya Pakistan Certificate. Apart from $22.817 billion, Pakistan has secured financing worth $4 billion from friendly countries — which was a prerequisite to reviving the stalled IMF’s programme. The country would receive $2 billion from Qatar, $1 billion in oil financing from Saudi Arabia and a similar amount in investments from the United Arab Emirates (UAE).