Islamabad: (RightNow) Pakistan’s foreign loans increased by 23% in the first two months of the new fiscal year. The federal government received $1.7 billion in external financial assistance from July to August.

According to the economic affairs report, $1.37 billion was received during the same period last fiscal year. The foreign loans acquired in the first two months are equivalent to 476 billion rupees.

The report states that $484.5 million was borrowed for various projects. Additionally, $1.21 billion was received under non-project assistance.

International financial institutions provided over $590 million in loans during the first two months. The Islamic Development Bank, World Bank, and Asian Development Bank also contributed.

It is noteworthy that last year also saw an increase in foreign loans, raising concerns about escalating economic challenges.