Budget 20-21: Pakistan’s external financing need goes up to $29.3 billion


ISLAMABAD: Amid decreasing non-debt creating dollar inflows in upcoming budget, Pakistan?s gross external financing requirement is expected to jump up from $25 billion in outgoing fiscal to at least $29.3 billion in next financial year 2020-21, it is learnt. The budget makers are worried in the aftermath of outbreak of coronavirus and its persistence in the country because it might result into decreased non- debt creating dollar inflows into Pakistan in next fiscal year such as foreign direct investment, fetching exports earnings and remittances so Islamabad will be forced to increase its reliance on foreign loans to meet its financing gap on external account.