MM News

Pakistan has received no amount of the budgeted $9 billion time deposits during July to October of the current financial year (2024-25) as compared to $3 billion materialized during the same period of the last financial year.

According to a report by Business Recorder on Thursday, the Economic Affairs Division (EAD) data shows that the government has budgeted time deposits of $9 billion, including a $5 billion Saudi Arabia time deposit and a $4 billion SAFE China deposit, for the ongoing fiscal year, but no money was received during the first 4 months.

Citing sources, the same report suggests that Pakistan had budgeted $3 billion in time deposits for the last fiscal year 2023-24, including $2 billion from Saudi Arabia and $1 billion from the UAE. The $3 billion time deposit from KSA and UAE was materialized in the first month of last fiscal year as well.

The Economic Affairs Division (EAD) data further shows that the government budgeted $3.779 billion from foreign commercial banks for the fiscal year 2024-25. Pakistan received $200 million under this head in September. The government did not borrow from commercial banks in July, August, and October, as per the record.

On the other hand, Pakistan has budgeted $19.393 billion from multiple financing sources for the fiscal year 2024-25, including $19.216 billion in loans and $176.29 million in grants. However, this does not include any amount from the International Monetary Fund (IMF).

As per the report, Pakistani authorities have stated that they have secured adequate financing from international partners to support its economic reform program and durably increase external buffers. Current projections suggest that, after incorporating pre-existing commitments, residual financial needs during the program period will be nearly $5 billion.