September 21, 2021 (MLN): Pakistan's outstanding debts as of August 31, 2021 stand at a whopping sum of Rs.25.19 trillion whereas total debt at the end of the prior month was Rs.24.99 trillion, meaning that around Rs201.635 billion was added during this month alone.
As compared to the same period last year when outstanding credit was Rs22.67 trillion, the current debt position is Rs.2.52 trillion higher this time around, marking a year-on-year expansion of 11 percent.
The total outstanding credit is branched into the amount accumulated by the government sector and that accumulated by the non-government sector. Out of the total outstanding loan, credit given to the government sector accounts for Rs.16.55 trillion while credit to non-government sectors accounts for Rs.8.65 trillion.
Credit to Government Sector:
The State Bank of Pakistan’s net credit to the government sector amounts to Rs5.2trillion which includes investments in government securities and government deposits, and other direct loans. During July’21 it was Rs4.84trillion, this shows that Rs371.84billion was added in a month.
Meanwhile, the second-largest source of financing for the sector, the Scheduled Bank's net credit adds up to Rs.11.34 trillion which is 2% or Rs222.96 billion lower than the outstanding credit at the end of July 2021, thus indicating that the sector retired loan during the period.
Credit to Non-Government Sector:
The State Bank’s claim to outstanding credit of this particular sector is comparatively negligible (only Rs.29.9 billion), while on the b-side, scheduled banks have a claim to up to Rs.8.6 trillion as of the end of this month.
At the end of the previous month (July 2021), the outstanding amount owed to these banks was Rs.8.56 trillion indicating that Rs52.7 billion was added during the month.
Copyright Mettis Link News
26970
