Pakistan has sought Rs5.51 trillion ($19 billion) from external sources including the International Monetary Fund (IMF) and commercial banks to meet its financing in the fiscal year 2023-24 budget.

The government estimated external loans stand at Rs5,510,580 million, which is estimated at $19.002 billion in FY23-24 at an exchange rate of Rs290 to the US dollar, according to the finance ministry’s ‘Explanatory Memorandum on Federal Receipts’.

The amount is over 180% higher than the revised estimate for the outgoing fiscal year stood at Rs1.951 trillion, the document shows and comes at a time of rising interest rates in the global financial markets.

According to the federal budget proposals, a loan of Rs969 billion would be obtained from the IMF for budgeting. This amount is $2.4 billion.

In the financial year ending 2022-23, it was estimated to receive Rs558 billion from the IMF for budgeting, but the amount received was Rs172.84 billion. The government expects to receive Rs145 billion from the Islamic Development Bank.

Similarly, Saudi Arabia would keep an amount equivalent to Rs870 billion as a time deposit in the banks of Pakistan. Pakistan would get Rs435 billion from the auction of Eurobonds

Pakistan is expected to get oil facilities worth Rs29.5 billion from ECO countries.

Despite borrowing from the IMF, experts have said that Pakistan’s expenses would not be met and the government would get an equivalent loan of Rs1,305 billion from commercial banks.