Private sector short-term foreign loans decreased to $11.96 billion in November 2023, reflecting a continued decline from $12.13 billion in October and $13.65 billion in June. Buyer’s credit also dropped to $6.47 billion in November from $6.65 billion in October.
Businesses’ focus on repaying existing loans and challenges in obtaining new foreign loans amid outstanding amounts and reduced confidence contributed to this decline. The country’s external debts slightly dropped to $96.54 billion by September’s end, though foreign debts increased by 51% from $65.27 billion in June 2020 to $98.93 billion in June 2023.
Experts warn that the high external liability could strain the country’s finances, emphasizing careful resource management and prioritizing sustainable economic development to reduce dependence on foreign borrowing. The devaluation of the local currency against the US dollar has made interest payments on foreign loans more expensive.
Source for more details:
