Is Zakat obligatory on borrowed money that is currently available?

The aforementioned amount is a debt that remains your obligation until you deliver it to its owner. If zakat becomes due on you before its payment, then consider all of your wealth after separating the amount you owe. If the remaining amount falls below the nisab, then zakat is waived for you. However, if the nisab remains after deducting the debt, then an amount equivalent to the debt is subtracted from your zakatable wealth, and the remainder is subject to zakat. The majority of scholars hold that debt prevents the obligation of zakat on internal wealth (gold, silver, cash, trade goods), unless you possess other wealth that is not subject to zakat, and it exceeds your basic needs; in which case, allocate it to settle the debt and pay zakat on all your zakatable wealth. Debt prevents zakat if it consumes the nisab or reduces it, and the zakat payer does not find anything with which to settle it except the nisab or what is indispensable for him.