List of loans taken by PML-N since May 2013

[livingdead]

what is the debt to gdp ratio @Aether
if loan is for investment that can bring economic propsperity then why not.

 

[Leader]

Lets compile the list of debts/loans/bonds whatever you wanna call it has been taken by PML-N and/or under negotiations with the IMF, World Bank, ADB, Islamic Bank and other Financial Institutes.

I believe that's

WB approves $12 billion loan for Pakistan - Pakistan - DAWN.COM

World Bank approves $1 bn loan to Pakistan - Yahoo Finance UK
or
World Bank approves 3 loans for Pakistan worth $1.125 bn – The Express Tribune

IMF gives green light to $6.6bn Pakistan loan - FT.com

Bonds worth 2 billion dollars

So that's 2 billion dollars of bond + 12 + 1 + 6.6 billion dollars I suppose = That's about 22 billion dollars of loan under negotiation/approved and there is more from Islamic Bank.

Can somebody shed the light on this matter?

Please note: This thread is about the loans that has been approved/received/under negotiation in this tenure of PML-N Government. Please do not discuss the past of any other government. The discussion of whether this loan being taken for a good cause or bad, we can do that after we have compiled the total figure of loans if possible

Pakistan receives $400 million from Asian Development Bank

Pakistan receives $400 million from Asian Development Bank


Pakistan, ADB sign $167.2m loan agreement to enhance power distribution

Pakistan, ADB sign $167.2m loan agreement to enhance power distribution – The Express Tribune


add these two. I think you missed.

 

[Hyde]

what is the debt to gdp ratio @Aether
if loan is for investment that can bring economic propsperity then why not.

It was close to 70% last time I checked

PML-N Government expressed her desire to keep it close to 60% of GDP. That's not bad

 

[Leader]

how much loans did Musharraf take in his 10 year long dictatorship?
then
how much loans did PPP govt take in 5 years?
and
how much pmln has taken so far? cc @Aether?

 

[Hyde]

Pakistan receives $400 million from Asian Development Bank

Pakistan receives $400 million from Asian Development Bank


Pakistan, ADB sign $167.2m loan agreement to enhance power distribution

Pakistan, ADB sign $167.2m loan agreement to enhance power distribution – The Express Tribune


add these two. I think you missed.

So that's

12 billion dollars from World Bank + 6.6 billion dollars from IMF + 2 billion dollars for Bond + 167 and 400 million dollars from ADB = 21.167 billion dollars from World Bank, IMF and ADB combined.

I am not sure if 1.2 billion dollars from World bank is part of the same 12 billion dollars package. It is likely to be not.. So that would take the total loans to 21.167 + 1.2 billion dollars = 22.367 billion dollars

 

[Hyde]

how much loans did Musharraf take in his 10 year long dictatorship?
then
how much loans did PPP govt take in 5 years?
and
how much pmln has taken so far? cc @Aether?

As per the official Government's website

The total external debts of Pakistan stood at 33.60 billion dollars in 1999 and increased only 2 billion dollars until 2006.

http://www.finance.gov.pk/survey/chapters/10-exter_d.pdf

Then the political atmosphere destroyed the economy of Pakistan for the next few years when we had military/judiciary/political tussle going on. I remember at the end of 2007 it was close to 36 billion dollars and when the elections reached closer, the foreign debts rose massively all of a sudden close to 45 billion dollars in Jan/Feb 2008. So it is not wrong to say that when PPP tookover we had a debt close to 45 billion dollars which remained close to 65 billion dollars until early 2013. That's about 20 billion dollars of increment in the foreign debts by PPPP. Although I somewhat blame PPPP for rising the debts from 38 billon dollars to 65 billion dollars

Pakistan's foreign debt in 1999: $33.60 billion dollars
in 2007: 37.362 billion dollars

Musharraf Era: 37.362 - 33.60 = 3.762 billion dollars of net increment in 8 years
Musharraf Era from 2007/2008: The debts piled upto 45 billion dollars so add another 8 billion dollars of debt in the last year

PPPP: from 2008 to 2014
from 45 billion dollars to 65 billion dollars - net increase of about 20 billion dollars

PML-N and current standings: Technically it's close to 60 billion dollars as PML-N is busy making repayments of the older debts but they have also signed deals as claimed above so it may rise upto 85-90 billion dollars before their tenure ends.

 

[maxpayne]

Lets compile the list of debts/loans/bonds whatever you wanna call it has been taken by PML-N and/or under negotiations with the IMF, World Bank, ADB, Islamic Bank and other Financial Institutes.

I believe that's

WB approves $12 billion loan for Pakistan - Pakistan - DAWN.COM

World Bank approves $1 bn loan to Pakistan - Yahoo Finance UK
or
World Bank approves 3 loans for Pakistan worth $1.125 bn – The Express Tribune

IMF gives green light to $6.6bn Pakistan loan - FT.com

Bonds worth 2 billion dollars

So that's 2 billion dollars of bond + 12 + 1 + 6.6 billion dollars I suppose = That's about 22 billion dollars of loan under negotiation/approved and there is more from Islamic Bank.

Can somebody shed the light on this matter?

Please note: This thread is about the loans that has been approved/received/under negotiation in this tenure of PML-N Government. Please do not discuss the past of any other government. The discussion of whether this loan being taken for a good cause or bad, we can do that after we have compiled the total figure of loans if possible

Some loans were imminent to repay older loans. Also our deficit was soaring, so government raised tax net and secured loan to raise foreign reserves and thus dollar was dropped to 98. State bank is now more stronger with government borrowing decreasing. BUT if the loan is not spent for the purpose it is received, it will become a liability for us!!!

 

[American Pakistani]

The billion dollar question is that where did these 25billion+ $$$ gone? That is gigantic money in less than a year & i guess it is even more than the total exports of Pakistan.

This means that Pakistan suffered heavily during demo crazy rule. Musharraf era the debt were like 32-38 billion & after PPP rule it shot up to 64billion$, adding at least 20 billion loan PMLN got takes the figure to 84 billion$. Who will pay this off?

 

[maxpayne]

As per the official Government's website

The total external debts of Pakistan stood at 33.60 billion dollars in 1999 and increased only 2 billion dollars until 2006.

http://www.finance.gov.pk/survey/chapters/10-exter_d.pdf

Then the political atmosphere destroyed the economy of Pakistan for the next few years when we had military/judiciary/political tussle going on. I remember at the end of 2007 it was close to 36 billion dollars and when the elections reached closer, the foreign debts rose massively all of a sudden close to 45 billion dollars in Jan/Feb 2008. So it is not wrong to say that when PPP tookover we had a debt close to 45 billion dollars which remained close to 65 billion dollars until early 2013. That's about 20 billion dollars of increment in the foreign debts by PPPP. Although I somewhat blame PPPP for rising the debts from 38 billon dollars to 65 billion dollars

Pakistan's foreign debt in 1999: $33.60 billion dollars
in 2007: 37.362 billion dollars

Musharraf Era: 37.362 - 33.60 = 3.762 billion dollars of net increment in 8 years
Musharraf Era from 2007/2008: The debts piled upto 45 billion dollars so add another 8 billion dollars of debt in the last year

PPPP: from 2008 to 2014
from 45 billion dollars to 65 billion dollars - net increase of about 20 billion dollars

PML-N and current standings: Technically it's close to 60 billion dollars as PML-N is busy making repayments of the older debts but they have also signed deals as claimed above so it may rise upto 85-90 billion dollars before their tenure ends.

Also Loan is not a problem if the GDP of country is rising faster than it. Plus tax recovery should be raised!

The billion dollar question is that where did these 25billion+ $$$ gone? That is gigantic money in less than a year & i guess it is even more than the total exports of Pakistan.

This means that Pakistan suffered heavily during demo crazy rule. Musharraf era the debt were like 32-38 billion & after PPP rule it shot up to 64billion$, adding at least 20 billion loan PMLN got takes the figure to 84 billion$. Who will pay this off?

Dude, all the 22B as not delivered. They are promises for next 3,5,10 years. Yet you see the rise in our foreign reserves with doller down to 98.

 

[Hyde]

The billion dollar question is that where did these 25billion+ $$$ gone? That is gigantic money in less than a year & i guess it is even more than the total exports of Pakistan.

This means that Pakistan suffered heavily during demo crazy rule. Musharraf era the debt were like 32-38 billion & after PPP rule it shot up to 64billion$, adding at least 20 billion loan PMLN got takes the figure to 84 billion$. Who will pay this off?

Its gone no where... The only money government received so far was used to repay older loans. I am crying about the money they will receive in future and we never know if it will land in the pocket of politicians or...

The loans i have mentioned above will be received in batches until 2019. These are just few agreements they have done in just first 11 months of their tenure. I wonder what they will do in the next 4 years. God knows if they may rise the total debt above the 100 billion dollars mark.

We must maintain our tax to gdp ratio below 60% at all cost simply because we don't have many resources to fulfil commitments. I have seen Greece and Spain drowning because of too many borrowings in the last few years. I wish not to see the repeat of same episode in Pakistan.

 

[Luftwaffe]

to move the wheels you must get some money otherwise things will get worse beside most of it will go back to previous loan payments

Hence In short pml-n intreprets it as "NO PLAN" in place for Pakistan.

 

[Hyde]

Hence In short pml-n intreprets it as "NO PLAN" in place for Pakistan.

Technically nobody has a plan to run the government. Bas Allah Allah kar ke hi guzar raha hai Pakistan main

Edited....

 

[thasti_phasti]

World Bank has refused to finance Basha dam because of India. Only Dasu dam 4300MW is included in this package. So most of $12 billion will be used for Dasu dam.

'"ISLAMABAD - Pakistan has faced a serious setback as the World Bank refused to finance much-needed 4,500 MW Diamer Bhasha Dam, at least in next five years, 2015-2019, which might put the project on the back burner."

The Nation

Basha dam cost is $14 billion at least and rising, Pakistan seriously need to beg to other banks, countries etc to build Basha which is way more important then Dasu and Bunji. Good news is Nawaz is very serious about Basha even if world doesnt provide any assitance because of India.

''Sharif said Diamer Bhasha and Dassu dams would contribute around 9,000 megawatts of electricity, adding the government would construct Bhasha Dam even from its own resources if it did not receive any foreign assistance. He said the government would soon initiate work on Lahore-Karachi Motorway.''

Pakistan can build this dam with internal resources, $14 billion over 12 years are needed to build the dam.

 

[Hyde]

World Bank has refused to finance Basha dam because of India. Only Dasu dam 4300MW is included in this package. So most of $12 billion will be used for Dasu dam.

'"ISLAMABAD - Pakistan has faced a serious setback as the World Bank refused to finance much-needed 4,500 MW Diamer Bhasha Dam, at least in next five years, 2015-2019, which might put the project on the back burner."

The Nation

Basha dam cost is $14 billion at least and rising, Pakistan seriously need to beg to other banks, countries etc to build Basha which is way more important then Dasu and Bunji. Good news is Nawaz is very serious about Basha even if world doesnt provide any assitance because of India.

''Sharif said Diamer Bhasha and Dassu dams would contribute around 9,000 megawatts of electricity, adding the government would construct Bhasha Dam even from its own resources if it did not receive any foreign assistance. He said the government would soon initiate work on Lahore-Karachi Motorway.''

Pakistan can build this dam with internal resources, $14 billion over 12 years are needed to build the dam.

The problem is we don't have 12 years to waste. Had it been started in 2009 as projected earlier when Zardari was so serious about building Bhasha Dam, it was projected to be completed by 2016. We still need to do something to push the completion date down to 2020. I am not sure if that's even possible anymore.

The only way to progress Pakistan is by building large and small dams in the country. Completion of Diamer-Bhasha, Dasu and Bunji dam is another jugular vein of Pakistan with Kalabagh preferably another option if we can make consensus on it. Dams will prevent floods in Pakistan resulting in savings of billions of dollars which we have lost in last few years and also promote agriculture, cheaper electricity, employment, exports and reap countless benefits.

@Topic

The total loan approved by ADB was 1.2 billion dollars with 400 million dollars being part of it. So it's not only 400 million dollars approved by ADB but 1.2 billion dollars. So if you add sum of another 800 million dollars in the old figure of 22.367 billion dollars... The expected loan volume may rise up to 23.167 billion dollars which PML-N plans to take from World Bank, IMF and ADB alone.

Source: ADB powers up loan for Pakistan | Emerging Markets

 

[thasti_phasti]

The problem is we don't have 12 years to waste. Had it been started in 2009 as projected earlier when Zardari was so serious about building Bhasha Dam, it was projected to be completed by 2016. We still need to do something to push the completion date down to 2020. I am not sure if that's even possible anymore.

The only way to progress Pakistan is by building large and small dams in the country. Completion of Diamer-Bhasha, Dasu and Bunji dam is another jugular vein of Pakistan with Kalabagh preferably another option if we can make consensus on it. Dams will prevent floods in Pakistan resulting in savings of billions of dollars which we have lost in last few years and also promote agriculture, cheaper electricity, employment, exports and reap countless benefits.

The work on resetlement etc is already started on Basha site. Maybe by 2020-2022 it will be completed.