Pakistan’s total debt, liabilities surge to Rs81.19tr in 1HFY24

February 13, 2024 (MLN): Pakistan’s total debt and liabilities soared to Rs81.194 trillion in 1HFY24, marking a rise of 27.2% YoY from Rs63.834tr in 1HFY23, according to data from the State Bank of Pakistan (SBP) released on Monday.

The breakup for the total debt and liabilities shows that total debt stood at Rs77.909tr and liabilities stood at Rs4.623tr during the review period.

Under the country’s total debt, external debt which includes debt from IMF, intercompany external debt from direct investors abroad, government and non-governmental external debt, jumped by 26.17% YoY to Rs33.611tr compared to Rs26.639tr in 1HFY23.

It is important to note that the country’s debt from IMF stood at Rs2.142tr, which surged by 24.17% YoY in 1HFY24.

The data released by the central bank further shows that the total liabilities including external and domestic rose to Rs4.623tr, expanding by 27.51% YoY compared to Rs3.625tr in 1HFY23.

The last element in the breakup is the consolidated adjustment amounting to Rs1.338tr in 1HFY24.

Total Debt and Liabilities Servicing

The servicing of total debt and liabilities surged to Rs5.702tr in 1HFY24, reflecting an increase of 28.82% YoY compared to Rs4.426tr in the same period last year.

Out of the total servicing of debt and liabilities, the predominant portion, amounting to Rs4.390tr, comprised interest payments on external debt, indicating a YoY increase of 64.67%.

The breakup further shows that the remaining amount comprises Rs1.229tr as the principal payment of external finances and Rs83.1bn as interest payment on liabilities.

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