March 28, 2022 (MLN): The non-government sector has borrowed another net sum of Rs36.4 billion during the week ended March 11, 2022, which brings the cumulative net borrowing for the ongoing fiscal year FY2022 to Rs934.2 billion. In the previous week, the government retired net sun of Rs8.1 billion.
According to weekly data released by the State Bank of Pakistan, the sector's borrowing has risen by Rs588.5 billion over the year since the borrowing as of the corresponding period of last year was recorded at Rs345.7 billion.
The non-government sector is divided into three broad categories namely, the Private Sector, the Public Sector Enterprises and NBFI. Commercial banks are the main source of financing for the private sector, including conventional banks, Islamic banks and Islamic branches of conventional banks.
This fiscal year, the private sector borrowed a net sum of Rs911.3 billion, whereas the PSEs have borrowed Rs17.9 billion.
As we disintegrate the inflows and outflows within the private sector, we see that Conventional Banks lent a cumulative sum of Rs566.97 billion, Islamic Banks lent Rs126.9 billion and lastly, the Islamic branches of Conventional Banks lent Rs217.4 billion.
