Pakistan’s Federal Debt Surges by Rs 4.3 Trillion in Eight Months
Pakistan’s federal government debt has risen sharply by Rs 4,304 billion in the first eight months of the current tenure, reaching Rs 69.114 trillion in October, according to official documents cited by ARY News.
Key Highlights:
- Total Debt: Increased from Rs 64.810 trillion in February to Rs 69.114 trillion in October.
- Domestic Debt: Jumped by Rs 4,556 billion, climbing from Rs 42.675 trillion to Rs 47.231 trillion.
- Foreign Debt: Decreased by Rs 251 billion, dropping from Rs 22.134 trillion to Rs 21.884 trillion.
All-Time High Debt Levels
In October, the State Bank of Pakistan (SBP) reported that federal government debt had reached a record Rs 70,362 billion, the highest in the nation’s history.
The debt rose by Rs 1,448 billion in just the first two months of the current fiscal year, with Rs 739 billion added in August alone.
Long-Term Trends
Between September 2023 and August 2024, Pakistan’s federal debt increased by a staggering Rs 6,392 billion, underlining the country’s ongoing fiscal challenges.
The sharp rise in domestic debt, coupled with a slight decrease in foreign debt, reflects the reliance on internal borrowing amidst tightening global financial conditions.
