Pakistan Financial Year 2009-10: Government pays $3.136 billion in debt servicing


* Receives $3.647 billion from donors in same period

By Ijaz Kakakhel

ISLAMABAD: The government reportedly paid $3.136 billion as debt servicing from July 2009 to June 2010, sources told Daily Times on Wednesday.

Out of the total payment, an amount of $2.380 billion was paid as principal amount and $756 million as interest on foreign loan. In June 2010 alone, the government paid $196.605 million as debt servicing i.e. $140.190 million as principal amount and $56.415 million as interest on foreign loan, the sources maintained.

From July 2009 to June 2010, the government received $3.647 billion external resources from foreign donors and other countries on bilateral basis, sources maintained. Out of the total foreign financial assistance, an amount of $3.001 billion came as foreign loan and $646 million as grant for different purposes.

Purpose-wise disbursement of external resources received in last fiscal year are; $5.16 million for Afghan Relief and Reconstruction Authority (ARRA), $192.57 million for Earthquake, $569.53 million for Industrial Development Bank (ST), $1.231 billion for Non-project Aid (BOP/Cash), $100 million assistance received as Commodity Aid, $51.52 million for Internally Displaced Persons (IDPs), $986.03 million as Project Aid, and $511.34 million received as from Tokyo pledges. The sum-total of these disbursements of foreign loan/grants was equal to $3.647 billion.

The sources maintained that the government provided these figures to International Monetary Fund (IMF) for the month of June 2010 and for the whole fiscal year 2009-10. On the basis of these figures the IMF evaluates the economy of Pakistan.

External Budget Financing Loan: The government received a total of $3.001 billion foreign assistance in the form of loan in the last fiscal year, details of which are; $168.07 million for Earthquake Rehabilitation Authority (ERA), $569.53 for Industrial Development Bank (ST), $1.072 billion for Non-project Aid (BOP/Cash), $100 million loan received as Commodity Aid, $865.83 million as Project Aid, and $225.90 million received as from Tokyo pledges.

External Budget Financing Grant: In the outgoing fiscal year the government received $646.18 million foreign assistance in the form of grant from donors countries, financial organizations. Details of the grants are; $5.16 million for Afghan Relief and Reconstruction Authority (ARRA), $24.50 million for Earthquake Rehabilitation Authority, $51.52 million for Internally Displaced Persons (from war on terror affected areas), $159.36 million grants for Non-project Aid (BOP/Cash), $120.20 million assistance received for Project Aid and $285.44 million as Tokyo pledges.

The sourcing mentioning only Asian Development Bank, International Development Association, European Union and United Kingdom and they extended total of $1.231 billion foreign loan/grant in the outgoing fiscal year. The ADB extended $622.1 million in the last fiscal year as loan, and IDA forwarded $450.08 million loan in 2009-10.

While the European Union extended $12.26 million as grant for Sindh government in education sector, while the UK provided $147.09 million as grant for Pakistan in 2009-10, the sources told.

http://www.dailytimes.com.pk/default.asp?page=2010\07\30\story_30-7-2010_pg5_1

Leave a Reply