Clarification

ISLAMABAD: In response to some media reports, it is clarified that the debt has increased in line with the fiscal deficit.

However, the positive development is Pakistan’s total debt to GDP has decreased to 83.50% of GDP on 30th June 2021 from 87.6% on 30th June 2020. Both domestic and external debts have depicted a downward trend from last year.

The domestic debt declined to 55.1% of GDP from 56% last year. Similarly, external debt to GDP recorded at 28.5% of GDP from 31.6% last year.

It is pertinent to mention that the best way to evaluate debt trend is through debt to GDP measure.

Mehtab Haider adds: This scribe had written a story on the basis of an official report of the Ministry of Finance.