ISLAMABAD (Eshfak Mughal):- The government has borrowed Rs3.1 trillion from banking sector (cash basis) to bridge the budget deficit and repayment to debt of the State Bank of Pakistan during the last fiscal year.
Sources in the Finance Ministry, the net government budgetary borrowing has been recorded at Rs3.1 trillion during the fiscal year 2021-22 as compared to Rs1.776 trillion during the fiscal year 2020-21. Out of total amount, the government has repaid Rs197 billion loan State Bank of Pakistan under the condition of the International Monetary Fund (IMF).
The federal government not only can’t direct borrowing from the State Bank but it has also retired debt stock which has been mounted to Rs5.077 trillion up to June 30, 2022. No government direct borrowing from the State Bank was main condition of the IMF for $6 billion loan program, signed on May 2019, sources further said.
The government has borrowed Rs3.297 billion from scheduled banks for bridging the budget deficit for the last fiscal year as compared to Rs2.96 trillion in the fiscal year 2020-2021. After this borrowing, the total government debt stock from the scheduled banks has been reached to Rs13.27 trillion up to June 30, 2022.
Sources further said that government has also spent Rs229 billion for the commodity operations during the last fiscal year 2021-22 as compared to Rs90 billion during the fiscal year 2020-21. The debt stock of commodity operation was surged to Rs1133 billion up to June 30, 2022.