Government sector's net borrowing goes up by 15% during the week

April  23, 2019 (MLN): Net borrowing by the government sector as of April 12, 2019 has increased to Rs 814.75 billion, reports the State Bank of Pakistan in its weekly report on monetary aggregates. As of last week, the borrowed amount was recorded at Rs.708 billion from various sources during the ongoing fiscal year.

According to the SBP data, this sum increased by Rs.107 billion i.e. 15% during the week.

The government sector borrowings are divided into three broad categories based on the purpose of loan, which are budgetary support, commodity operations and others.

Up until April 12, 2019, government borrowed Rs.1.5 billion for other miscellaneous operations. Meanwhile, Rs.169 billion have been retired off Commodity Operations.

Within budgetary borrowing, over Rs.3.5 trillion (net) were borrowed from the Central Bank while Rs.2.5 trillion were retired of Scheduled Banks.

By dividing the loan of SBP among federal and provincial governments, it is noted that the federal government borrowed Rs.3.7 trillion, while provincial government paid off Rs.211.3 billion, AJK government paid off Rs.10 billion and Gilgit Baltistan retired Rs.7.7 billion.

Copyright Mettis Link News