During the first ten months of the current fiscal year (July-April), the private sector’s loan from the banking sector increased by about 189 percent, or Rs. 859 billion, to Rs. 1,313 billion from Rs. 454 billion.
According to a study produced by the State Bank of Pakistan (SBP), private sector borrowing from traditional banking branches climbed by Rs. 615 billion to Rs. 830.5 billion over the period, up from Rs. 215 billion. By the end of April 2022, the entire debt stock of conventional banking branches for the private sector had reached Rs. 6,515 billion.
The Islamic banking industry’s private sector loan increased by 96 billion rupees to Rs. 199.3 billion from Rs. 103.7 billion. By 30 April 2022, the debt stock of this banking industry had grown to Rs. 1,229 billion as a result of fresh borrowing from Islamic Banking.
In the first ten months of this fiscal year, the loan from Islamic Banking Branches of Conventional Banks increased to Rs. 283 billion from Rs. 135 billion in the previous fiscal year. So far, the entire debt stock held by Islamic Banking Branches of Conventional Banks for the private sector has reached Rs. 1,196 billion.
During the first ten months of the current fiscal year, the banking sector’s loss-making Public-Sector Enterprises (PSEs) borrowed Rs. 14.56 billion to run their operations. During the same period previous fiscal year, they retired Rs. 26.64 billion in loans, while the total debt stock of the PSEs increased to Rs. 1451 billion owing to new credit in the current fiscal year.
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