Pakistan borrows $1.7b in foreign loans in July and August 2026

Pakistan received $1.7 billion in foreign loans and financial assistance during the first two months of the current fiscal year 2026-27. It is up 23.6% from $1.37 billion received during the same period last year, 24NewsHD TV reported on Tuesday. 

According to data on federal government borrowing, the amount received during July and August was equivalent to around Rs476 billion, compared with Rs391 billion during the corresponding period of the previous fiscal year.

Of the total amount, $484.5 million was obtained for various development projects, while $1.21 billion was secured under non-project financing.

Multilateral financial institutions provided more than $590 million during the period.

The Islamic Development Bank contributed $191.2 million, the World Bank $238.4 million, and the Asian Development Bank $95.7 million.

According to the Economic Affairs Division, different countries provided $35.2 million in financial assistance, including $12.8 million from Germany and $8.9 million from Saudi Arabia.

China did not provide any financial assistance to Pakistan during the first two months of the current fiscal year.

Meanwhile, Pakistan raised $629.7 million through the Naya Pakistan Certificate scheme and secured another $300 million in loans from foreign commercial banks.