Pakistan’s total debt, liabilities mount to Rs 44.5 trillion in FY20

September 01, 2020 (MLN): Government’s total debt and liabilities increased to Rs 44.563 trillion in FY20, showing an increase of Rs 4.34 trillion or 11% YoY when compared to FY19.This has increased the country’s debt as a percentage of GDP to 106.8% in FY20 from debt to GDP ratio of 105.9% of FY19.

According to the data released by the State Bank of Pakistan, the country’s debt burden jumped by Rs 14.68 trillion in two fiscal years. At the end of the FY18, total debt and liabilities stood at Rs 29.87 trillion.

Out of total debt and liabilities, Pakistan’s total debt stood at Rs 42.08 trillion while total liabilities were recorded at Rs 2.47 trillion.

Meanwhile, on domestic front, the total domestic debt reached Rs 23.281 trillion in FY20, registering an increase of 2.55 trillion or 12% compared to FY19. By end of FY18, Pakistan’s domestic debt stood at Rs 16.416 trillion.

On the external front, all of the net external debt raised in FY20 was from multilateral and bilateral sources which settled at Rs 17.315 trillion, showing an additional liability of Rs 1.68 trillion i.e. 10.7% YoY against FY19. The total external debt stood at Rs 10.95 trillion by end of FY18.

The SBP data revealed that total debt also includes the public sector enterprises’ (PSEs) domestic debt which was recorded at Rs 1.49 trillion in FY20 with an addition of Rs 96 billion compared to FY19.  PSEs’ domestic debt stood at Rs 1.06 trillion by end of FY18.

A breakup of total liabilities showed that external liabilities which was Rs 622 billion in FY18, grew to Rs 1.663 trillion in FY20 while domestic liabilities dropped to Rs 813 billion in FY20 against Rs 819 billion in FY18. 

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