ISLAMABAD: Pakistan’s public debt mark increased by 35 percent as it crossed over Rs. 18 trillion figure during the current tenure of Pakistan Muslim League-Nawaz (PML-N).
According to Finance Ministry’s report, the debt — borrowed from local banks in the past three years — increased from Rs. 8.68 trillion since the end of 2013 to Rs. 12.14 trillion at the end of FY 2016-2017.
Foreign debts also increased from Rs. 4.79 trillion in 2013 to Rs. 6.14 trillion in September 2016- increased by 28 percent.
The ministry stated, “The volume of net public debt as on Sept 30, 2016 was Rs. 18,277.6 billion.”
The ministry said that the loans were taken due for the financing of development projects which holds key importance for the country, import of urea and crude oil and rehabilitation of people affected in natural disasters.
However, the government claimed budget deficit has decreased whereas tax-to-GDP ratio along with foreign exchange reserves have also increased.