Government borrowed US$2.3 billion in first half of Fiscal Year 2019: Economic Affairs Division

ISLAMABAD - The Pakistan Tehreek e Insaaf (PTI) led Federal Government in Pakistan has borrowed US$2.3 billion in the first half of the current fiscal year (FY), according to the Economic Affairs Division.

During the July-December period of the fiscal year 2018-19, the government borrowed US$836 million from China, and US$500 million from commercial banks, the Economic Affairs Division said.

The government also took out US$339 million in loans from the Asian Development Bank, and US$272 million from the Islamic Development Bank.

During the same period in 2017, borrowing stood at $5.9 billion from external resources.

https://en.dailypakistan.com.pk/business/pakistans-real-economic-problem-is-trade-deficit-not-foreign-loans/

Earlier, former speaker and PML-N leader Ayaz Sadiq had urged the government to take the parliament into confidence over its talk with the IMF, Saudi Arabia and China.

Responding to it, Finance Minister Asad Umar said that the government was seeking loans from multiple sources in order to get a loan from the International Monetary Funds (IMF) on better terms.

Pakistan secured a $3billion deal when Prime Minister Imran Khan visited Saudi Arabia, he said.

https://en.dailypakistan.com.pk/business/adb-approves-280-million-loan-for-pakistan/

Pakistan’s biggest trade deficit is with China, he pointed, adding that Beijing is fully committed to bridge this gap.

In 2017, with a deficit of more than $35 billion, Pakistan was ranked eighth in terms of the size of the trade deficit. The country had a trade deficit of $13.9 billion with China and $6.7 billion with the UAE in 2017.

In 2013, the trade deficit with China was $4 billion. Hence, the increase in CPEC-related imports was by far the most important factor in the rising trade deficit.