ISLAMABAD: Foreign assistance inflows to Pakistan increased 18.38 per cent to $5.86 billion in July-February 2025-26, mainly due to programme support from the International Monetary Fund (IMF).

Excluding IMF disbursements, total inflows, including both loans and grants, amounted to $5.86bn in the first eight months of FY26, up from $4.95bn last year. In February alone, inflows reached $692m, compared to $364m in the same month last year, an increase of 90pc.

These figures do not include $1.2bn disbursed by the IMF in December, bringing cumulative inflows in 8MFY26 to over $7bn.

Of the total, foreign loan inflows reached $5.77bn in the first eight months, up from $4.8bn last year, a rise of over 20pc. Grants totalled $92.3m, down from $133m last year, showing a 31pc decline.

Grants plunge 31pc in 8MFY26

The target for total foreign inflows for FY26 is $19.9bn, up from $19.4bn last year.

The Ministry of Economic Affairs said it received $5.862bn in total foreign inflows in the first eight months, compared with $4.95bn in the same period last year. Of this, $2.1bn was received for project financing, while non-project inflows amounted to $3.73bn.

Loans for budget support amounted to $2.18bn in eight months, despite the annual target being set at $13.5bn, down from $15bn last year.

Authorities also mobilised $800m from the Saudi Oil facility in eight months at a monthly rate of $100m, against a full-year target of $1bn.

Against a full-year target of $5bn from multilateral lenders (excluding IMF), Pakistan received $2.37bn in 8MFY26, down from $2.5bn last year. Inflows from bilateral lenders (excluding three strategic friendly countries) stood at $1.038bn, against an annual target of $1.36bn, but over 300pc higher than $335m last year.

Combined inflows from bilateral and multilateral lenders amounted to $3.4bn, against an annual target of $6.4bn. Last year, $2.172bn was received, short of the yearly target of $5.05bn.

The World Bank became the top multilateral lender, disbursing $1.073bn, up from $860m last year, a 25pc increase. The Asian Development Bank fell to second place with $663m, a 66pc decline from last year’s $1.098bn. The Islamic Development Bank increased disbursements to $540m, up from $414m last year.

Inflows from overseas Pakistanis rose to $1.77bn, up from $1.3bn, largely in the form of Naya Pakistan Certificates. The government also arranged a $202m commercial loan from Standard Chartered Bank, London.

Published in Dawn, March 27th, 2026