HOW astonishing that the total external debt of Pakistan has increased to $74.126 billion till Jan. 2017 which was just $61.796 billion till Jan 2014.
The government after it came to power in 2013 paid Rs 480 billion as circular debt in the power sector. According to conservative estimates more than Rs 439 billion has accumulated yet again which has to be paid in 2017.
The IPPs are demanding payment and warning that if the government does not pay, they will encash the sovereign guarantee. A moment to ponder and think where we are heading.
We are taking yet more loans to repay the installments of previous ones. For how long will things run in this manner?
Published in Dawn, March 20th, 2017