Correction: An earlier version of this story incorrectly stated the overall debt and liabilities to have crossed Rs2.2 trillion. The correct figure is Rs22 trillion. The error is regretted.
Pakistan's overall debt and liabilities have soared to an all-time high and have crossed Rs22 trillion ─ an increase of Rs8tr since the PML-N government came to power, said the recently released National Data Summary released by the State Bank of Pakistan (SBP).
The SBP summary shows that on September 30, 2016, the country’s overall domestic debt and liabilities stood at Rs14.79tr, whereas the external debt and liabilities stood at $72.98 billion on June 30, 2016.
In the present government’s three years, the domestic debt and liabilities showed an increase of Rs5.26tr and external debt more than Rs2.5tr.
According to official documents in June 2013, the overall debt and liabilities were at the level of Rs14.32tr under which domestic debt and liabilities stood at Rs9.52tr and external debt and liabilities were recorded at Rs4.8tr.
SBP data on Sept 30, under the heading of central government debt, mentioned that domestic debt stood at Rs14.39tr in which long term debt stood at Rs7.9tr and short term debt stood at Rs6.48tr.
The data further shows that external debt was recorded at $72.98bn on June 30 this year, out of which $61.36bn was public debt, Public Sector Enterprises (PSE) guaranteed debt stood at $1.27bn, PSE non-guaranteed debt was $1.48bn.
During the same period, scheduled banks’ borrowing amounted to $1.64bn, non-resident deposits stood at $1.09bn, private non-guaranteed $3.29bn, private non guaranteed bonds at $12m and debt liabilities to direct investors for inter-company debt stood at $2.85bn.
The PML-N government has so far been unable to succeed in bringing the debt to Gross Domestic Product (GDP) ratio to within statutory limits of 60 per cent.
The overall debt pile reached around 68pc which is a violation of Fiscal Responsibility and Debt Limitation Act 2005, which binds the government to keep the total public debt below 60pc of GDP.
According to official documents, in 1999 the country’s over debt and liabilities were recorded at Rs2.95tr of which domestic debt stood at Rs1.39tr and external debt was Rs1.56tr.
In 2013 when the PML-N government came into power the country’s overall debt stood at Rs14.32tr of which domestic debt was recorded at Rs9.52tr and external debt was Rs4.8tr.