Pakistan receives $511m external financing in November

December 23, 2025 (MLN): Pakistan secured external financing worth $511.49 million in November 2025 from multiple financing sources, 8.6% higher than last month and 45.8% lower than the same month last year.

Cumulatively, in 5MFY26, the country only managed to secure $3.02 billion in external financing against the annual budget estimates of $19.39bn for FY26, the latest monthly report by the Economic Affairs Division (EAD) showed.

During November, Pakistan secured $510.09 million in loans, while grants amounted to $1.40 million, taking total monthly disbursements to $511.49 million.

On a cumulative basis (July–November), loans stood at $2.52 billion, whereas grants reached $511.49 million, lifting total foreign economic assistance to $3.03 billion.

Multilateral partners remained the primary source of external financing, contributing $1.26 billion during July–November, with $150.48 million disbursed in November alone.

The largest component of assistance in November came from budgetary support, which totaled $196.99 million.

For the July-November period, budgetary support reached $965.92 million, primarily driven by the Naya Pakistan Certificate program and the Saudi Fund for Development (SFD) Oil Facility.

The SFD Oil Facility alone disbursed $100 million in November and $500 million cumulatively during the five months, providing crucial support for petroleum product imports.

The Asian Development Bank (ADB) emerged as the leading multilateral donor, disbursing $74.70 million in November and $242.10 million from July to November. Key ADB-funded projects include the Sindh Emergency Housing Reconstruction Project, which received $25.14 million in November, and various infrastructure development initiatives across provinces.

The International Development Association (IDA) disbursed $39.14 million in November, with cumulative disbursements of $343.15 million. Major IDA-supported projects include the Dasu Hydropower Project and the Sindh Water Sector Agriculture & Transformation Project.

The International Bank for Reconstruction and Development (IBRD) contributed $8.10 million in November, bringing its five-month total to $181.84 million, primarily supporting power sector and urban development projects.

Among bilateral donors, China remained a significant contributor with $61.96 million disbursed during July-November, including the Pakistan Multi Mission Satellite project which received $61.71 million.

Denmark provided $71.15 million cumulatively for the construction of the Eastern Waste Water Treatment Plant in Faisalabad, though no disbursement was recorded in November.

France disbursed its assistance across multiple hydropower and infrastructure projects, with cumulative disbursements of $15.61 million.

Japan contributed $10.56 million during the five-month period, supporting educational facilities reconstruction in flood-affected areas of Sindh and maternal healthcare projects.

South Korea's assistance totaled $6.77 million, primarily for the Technology Parks Development Project in Islamabad.

Project aid constituted the bulk of assistance, with November disbursements of $190.43 million and a cumulative total of $1.157 billion for July-November. 

Non-project aid, including budgetary support and program loans, amounted to $321.07 million in November and $1.875 billion cumulatively.

Major provinces benefited from various development projects, with Punjab, Sindh, and Khyber Pakhtunkhwa receiving substantial allocations for urban development, water management, education, and health sector improvements.

The Islamic Development Bank (IsDB) short-term credit facility provided $22.35 million in November and $383.78 million during the five-month period, supporting trade financing requirements.

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