Pakistan govt debt reaches record high of Rs 70.36 tln

KARACHI: Pakistan’s central government debt has surged to an all-time high of Rs 70,362 billion, marking the highest level in the country’s history, ARY News reported on Tuesday.

According to data released by the State Bank of Pakistan (SBP), federal debt increased by Rs 1,448 billion in just the first two months of the current fiscal year, with Rs 739 billion added in August alone.

As per the issued statement, the federal government’s debt rose by a staggering Rs 6,392 billion between September 2023 and August 2024.

As of August 2024, domestic debt accounted for Rs 48,339 billion, while external debt stood at Rs 22,023 billion.

This significant rise in government borrowing has raised concerns about the country’s fiscal health and debt sustainability as Pakistan continues to grapple with economic challenges.