Pakistan is set to resume the $100 million per month Saudi Oil Facility (SOF) from March 2025, with the total $1.2 billion arrangement extending until February 2026. So far, the country has secured $6 billion in foreign loans during the first eight months (July-February) of the current fiscal year.
These inflows include $1 billion from the International Monetary Fund (IMF) under the Extended Fund Facility (EFF), though this amount is not reflected in the Economic Affairs Division (EAD) data. The government’s total foreign loan target for the 2024-25 fiscal year is $19.4 billion, including $9 billion in deposits—$5 billion from Saudi Arabia and $4 billion from China.
To meet the overall loan target by June 2025, Pakistan needs to secure an additional $4.4 billion in foreign financing over the next four months (March-June).
According to official EAD data, multilateral creditors have disbursed $2.49 billion so far, against the total budgeted inflows of $4.57 billion for the financial year. The government must accelerate multilateral disbursements to meet its targets.
China emerged as the largest provider of guaranteed loans, extending $306 million. The Asian Development Bank (ADB) disbursed $1.09 billion, while the Asian Infrastructure Investment Bank (AIIB) provided $60.25 million. The European Investment Bank (EIB) contributed $10.53 million. The World Bank extended $217.8 million under the International Bank for Reconstruction and Development (IBRD) and $642.5 million under the International Development Association (IDA).
The European Union (EU) has yet to disburse any of the budgeted $4.76 million. Meanwhile, the International Fund for Agricultural Development (IFAD) has released $36.93 million.
The Islamic Development Bank (IsDB) provided $148.26 million, along with a short-term commodity financing loan of $265.72 million. Additional funding came from the OPEC Fund and Standard Chartered Bank London, which provided $3.34 million and $3.98 million, respectively.
Bilateral creditors have contributed $334.96 million out of the total budgeted $471.72 million. France led with $103.23 million, surpassing its annual target of $103.21 million. Other contributions include China ($99.17 million), Germany ($26.81 million), Japan ($17.18 million), South Korea ($11.76 million), Kuwait ($24.4 million), Saudi Arabia ($12.37 million), and the United States ($40.05 million).
Pakistan has yet to issue any international bonds, despite an initial target of raising $1 billion. Of the planned $3.779 billion in foreign commercial loans, only $500 million has been secured so far. Additionally, the government has raised $1.3 billion through Naya Pakistan Certificates.
