Immigration Surge: Overseas Arrivals Rise 59% in July
- Islamabad - Pakistan commenced its new fiscal year with a substantial surge in foreign inflows, totaling $695 million in July, marking a 59% increase compared to the $436.5...
- the inflows consisted of $675 million in foreign loans and $19 million in grants, a considerable jump from the $426 million in loans and $10.5 million in grants...
- Despite these initial hurdles, the government demonstrated robust growth in both loan and grant categories during july.
Pakistan Sees notable increase in Foreign Inflows to Start Fiscal Year
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Islamabad – Pakistan commenced its new fiscal year with a substantial surge in foreign inflows, totaling $695 million in July, marking a 59% increase compared to the $436.5 million received during the same period last year, according to data released by the Ministry of Finance.
Details of July’s Inflows
the inflows consisted of $675 million in foreign loans and $19 million in grants, a considerable jump from the $426 million in loans and $10.5 million in grants received in July 2023 as reported by Dawn. This positive trend follows the finalization of Pakistan’s Extended Fund Facility (EFF) with the International Monetary Fund (IMF), which had faced delays related to the approval of the federal budget.
Despite these initial hurdles, the government demonstrated robust growth in both loan and grant categories during july. This is a critical development given Pakistan’s ongoing economic challenges and reliance on external financing.
Fiscal Year Targets and Sources
Pakistan has set an aspiring target of $19.9 billion in total foreign inflows for the current fiscal year, a slight increase from the previous year’s target of $19.4 billion. This target is broken down as follows:
- Multilateral and bilateral lenders: $6.4 billion
- International bonds: $400 million
- Foreign commercial loans: $3.1 billion
- Time deposits from Saudi arabia and China: (substantial, specific amounts not yet detailed)
The success of achieving this target is vital for maintaining macroeconomic stability and fulfilling Pakistan’s obligations to international creditors.
Comparison to July 2023 Inflows
In July 2023, Pakistan secured over $2.89 billion in foreign loans, largely attributed to the signing of a 9-month Stand-By Agreement (SBA) with the IMF. This included significant contributions of $2 billion from Saudi Arabia and $1.2 billion from the IMF according to Reuters.Total inflows for July 2023 reached $5.1 billion, a significantly higher figure than the $695 million reported for july 2024, but reflecting the extraordinary circumstances of securing the SBA.
| Month | Total Inflows (USD Millions) | Loans (USD Millions) | Grants (USD Millions) |
|---|---|---|---|
| July 2023 | 5,100 | 2,890
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