Federal government strongly reacts over media reports of massive hike in foreign loans

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Federal government strongly reacts over media reports of massive hike in foreign loans

ISLAMABAD: The Economic Affairs Division rejected on Friday media reports that the country witnessed a 45 per cent increase in its foreign loans over the last five months.

It tweeted: “Media reports regarding 45% inc[rease] in foreign loans in 5-months period are completely incorrect & misleading.”

Explaining key facts, the Economic Affairs Division said the government received gross external inflows of US$4.5 billion during the first five months of the current fiscal year (Jul-Nov, 2020).

During this period, it said the government paid back US$ 2.9 billion on account of external public debt and its servicing. “Thus, net inflow was US$1.6 bn,” it added.

“During tenure of current Govt, total external inflow amounted to US$ 26.6 bn which were primarily used for repayment of external public debt & its servicing of US$ 23.4 bn. Thus, net inflow was US$ 3.2 bn.”