Over $9.81b received in foreign loans in five years

Pakistan shelled out $889m in interest on foreign loans during the period

ISLAMABAD:

During the tenure of Pakistan Tehreek-e-Insaf (PTI) and the Pakistan Democratic Movement (PDM) governments, the country received $9.81 billion from international financial institutions and foreign countries to fund various development projects.

Pakistan paid a total of $889.16 million in interest on these loans during the five-year period.

According to official documents, the Asian Development Bank (ADB) provided $1.303 billion, on which Pakistan paid $181.76 million in interest.

China lent $2.55 billion, with $348.47 million paid in interest. Germany extended $10 million for development projects, and Pakistan paid $370,000 in interest.

France provided $231.7 million, with $2.43 million paid in interest. Japan contributed $97.4 million, with Pakistan paying $9.88 million in interest.

South Korea loaned $370.5 million, and Saudi Arabia provided $42.9 million, for which Pakistan paid $7.57 million in interest. Kuwait gave $970 million, and Pakistan paid $1.71 million in interest.

From the World Bank's International Development Association (IDA), Pakistan received $2.751 billion, paying $191.21 million in interest.

The International Bank for Reconstruction and Development (IBRD) lent $645.5 million, with interest payments totalling $106.31 million.

Meanwhile, OPEC provided $14.5 million, with $6.51 million paid in interest. The Asian Infrastructure Investment Bank (AIIB) extended $131 million, with Pakistan paying $8.81 million in interest.

The loans were directed towards key development projects, including hydropower initiatives, skills development, basic education, healthcare, polio eradication efforts, and funding for the Covid-19 vaccination campaign.