Pakistan's total debts, liabilities surge 29pc in FY23
Business
Gross external debt dipped by $6bn in FY23 to $124.3bn against $130.3bn in FY22
KARACHI (Web Desk) – The last fiscal year 2022-23 [FY23] saw a 29 per cent increase in Pakistan’s total debt and liabilities – an amount that has now touched Rs77.104 trillion with the addition of Rs17.332tr. It was recorded at Rs59.772tr in 2021-22 [FY22].
The latest data shared by the State Bank of Pakistan shows the gross external debt dipped by $6 billion during this period to $124.3bn against $130.3bn in FY22.
Excluding liabilities, the total debt of the country in FY23 stood at $72.991tr, compared to Rs56.837tr in FY22, representing a 28.4pc increase, compared to 24.7pc in the preceding fiscal year. As a percentage of GDP, the debt was 86.2pc, compared to 85.3pc in the previous fiscal year.
The huge increase in debt and liabilities means more debt servicing, which reached Rs9.819tr in FY23, compared to Rs5.578tr in FY22 – a 76pc year-on-year increase and a percentage of GDP at 11.6pc, compared to 8.4pc in FY22.
The data reveals that interest payments on debt amounted to Rs5.935tr, compared to Rs3.331tr in the previous fiscal year. The size of GDP in FY23 significantly increased to Rs84.657tr, compared to Rs66.623tr in FY22.
While the size of external debt decreased during the year FY23, the external debt servicing increased by almost 25pc.
However, the debt servicing increased by $5.7bn to $20.8bn in FY23 from $15.1bn in the preceding year.
The detail shows that Pakistan paid $16.39bn as a principal amount and $4.420bn in interest on external debts.
