In a concerning financial development, Pakistan’s public debt has increased by a staggering Rs. 8.3 trillion in just one year, exacerbating the country’s economic challenges. The surge in debt was primarily attributed to rising fiscal deficits, inflationary pressures, and the need for external borrowing to meet financial obligations.
According to the latest figures released by the Ministry of Finance, the country’s total public debt has reached unprecedented levels, with a substantial portion of the increase resulting from foreign loans. This growing debt burden is expected to place additional strain on Pakistan’s fiscal policies and its ability to manage future debt repayments.
Economists have raised alarms over the long-term sustainability of Pakistan’s public debt, urging the government to implement measures aimed at reducing dependency on external loans and improving domestic revenue generation. The debt surge has sparked concerns about the potential for higher inflation and further depreciation of the Pakistani rupee.
As the country faces a challenging economic outlook, stakeholders are calling for urgent reforms to address the widening fiscal gap, ensure debt sustainability, and stimulate economic growth in the coming years.
