Pakistan will spend around Rs. 3.059 trillion on debt servicing, including interest payments and retiring its principal amounts, during the next financial year (FY2021-22).
This is 36 percent of the total budget outlay of Rs. 8.497 trillion. The government has earmarked Rs. 3.059 trillion in the budget 2021-22 against Rs. 2.946 trillion for the current fiscal year that was later revised to Rs. 2.850 trillion.
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During the budget year 2021-22, the government will spend Rs. 302.506 billion on foreign debt servicing against Rs. 315.135 billion allocated for the current fiscal year, which was later revised to Rs. 239.568 billion.
It will also spend Rs. 2.575 trillion in 2021-22 on domestic debt servicing against Rs. 2.631 trillion in 2020-21 that was later revised to Rs. 2.611 trillion.
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Pakistan’s public debt was recorded at Rs. 38.006 trillion at the end of March 2021 as compared to Rs. 36.399 trillion at the end of June 2020, registering an increase of Rs. 1.607 trillion during the first nine months of the current fiscal year.
