During the past three years, the government has paid Rs. 7.46 trillion interest on loans, revealed the summary presented to the Senate by the Ministry of Finance (MOF).
According to the summary, the government debt increased by Rs. 14.90 trillion during the three years. In addition to this, the ministry pointed out that during these three years, the government had paid 50% of the total interest on loans.
The ministry also highlighted that a significant decline was observed in the government debt. The summary pointed out that during the FY20-21, the debt to GDP ratio had decreased by 4% and it was further expected to decrease by 2-3% during the current fiscal year.
Moreover, MOF also provided a detailed summary of internal and external debts for the three years. According to the summary, the internal debt of the country rose by Rs. 10 trillion. The internal debt was registered at Rs. 26 trillion in August 2021 compared to Rs. 16 trillion in June 2018.
External debt during the past three years increased by Rs. 6.5 trillion. In August 2021, the external debt was recorded at Rs. 14.5 trillion compared to Rs. 8.5 trillion in June 2018.
The total debts of the nation during this time period have also increased from Rs. 25 trillion in June 2018 to Rs. 41 trillion in August 2021.
TABDALI ZINDABAD