Amidst the Shahbaz Sharif government awaiting approval for a USD 7 billion bailout from the IMF’s executive board, Pakistan began its performance on a poor note, as it secured only USD 436.4 million in foreign aid and grants in July.
This amount is nearly 85 percent less than what was received in the same month the previous year. Reports Dawn News.
The USD 426 million in foreign loans and USD 10.5 million in grants for July fell short compared to the ambitious USD 19.4 billion foreign assistance target set for FY25.
Against an annual target of USD 4.53 billion from multilateral lending agencies (excluding the IMF), Pakistan secured USD 201 million in July, slightly above the USD 194 million received in the same month last year when the yearly target was USD 5.34 billion.
Earlier, last year in July, Pakistan received over USD 2.89 billion, largely due to the signing of a nine-month $3 billion Stand-By Arrangement (SBA) with the IMF, which facilitated a substantial USD 2 billion time deposit from Saudi Arabia.
Total inflows for July 2023 were USD 5.1 billion, including USD 1.2 billion from the IMF and another USD 1 billion from the UAE.
Also Read: Pakistan: Death Toll Crosses 70 After Multiple Terror Attacks In Balochistan
Meanwhile, the Ministry of Economic Affairs reported on Tuesday that total foreign inflows for July amounted to USD 436.39 million, a significant drop from USD 2.89 billion in the same month last year.
The Economic Affairs Division (EAD) noted that most of the inflow—USD 307 million—was from project financing, a 52% decrease from the USD 640 million received in July of the previous year. Reports Dawn News.
Must Read: Shutter Down Strike In Pakistan Against Inflation: Jamaat-e-Islami
(With Inputs From ANI)
