A rise of almost 59 percent in the foreign loan was recorded during the first month of the current fiscal year in July 2025, when Pakistan secured a foreign loan of 695 million as compared to a 695million foreign loan secured in the same period last year. As stated in the Economic Affairs Division (EAD), during FY26, a sum of Islamabad has received outside funding of 694.53 million, as opposed to the 19.7 billion yearly target.
Multilateral provision on the World Bank front saw it contribute $157.69 million and $32.56 million through IDA and IBRD, respectively. In Saudi Arabia, $100 million was contributed under the $1 billion Saudi Oil Facility that is projected to last ten months in the fiscal year.
Bilateral donations amounted to $118.4 million with China making the largest donation of $6M, France $8.5M, Germany $2.02M, Japan $0.81M, Korea $0.6M and the United States $0.19M. The sum of money that was disbursed by multilateral lenders to the tune of $379.88 million incorporated money of the World bank, Islamic Development bank, IBRD and the Asian development Bank.
Read more: Pakistan’s Foreign Exchange Reserves Reach $16.05 Billion
Naya Pakistan Certificates also raised $196.22 million while IMF disbursements are projected to reach $410 million in climate financing in FY26 under the Resilience and Sustainability Facility.
The overall balance of foreign loan, $695 million in July signals to a positive note in FY26, since Pakistan is experiencing improved access to external financing.
