KARACHI: Pakistan paid $3.593 billion in external debt servicing during the first quarter of this fiscal year, reported the State Bank of Pakistan (SBP).

The debt servicing has become the biggest problem for the government as it has to borrow continuously to pay back the previous debts. In FY20, the country had to pay $14.578bn in debt servicing.

The foreign exchange reserves of the State Bank have remained below $14bn since FY18 and are still hovering around $13bn.

Out of the total payment of $3.593bn, the country paid $2.934bn in the principal amount while $659 million was paid as interest.

In FY20, the principal amount was $11.345bn while the interest was $3.233bn.

Published in Dawn, January 27th, 2021

Opinion

Editorial

Sindh lawlessness
29 Nov, 2023

Sindh lawlessness

GOVERNMENTS come and go, but little has been done to control rampant crime across Sindh, particularly its lawless...
New compact
29 Nov, 2023

New compact

AS elections approach ever closer without any tangible improvement in the political atmosphere, there has been a...
Climate crossroads
Updated 29 Nov, 2023

Climate crossroads

As Pakistan presents its case at COP28, the focus must be on ensuring that the L&D fund.
Climate resilience
28 Nov, 2023

Climate resilience

It is critical to ensure climate resilience of the economy through sound climate-related public investment management.
Condemned to die
28 Nov, 2023

Condemned to die

ANOTHER day in Kohistan, another jirga-mandated murder of a girl. Her ‘crime’: dancing with boys in a video that...
Price of politics
28 Nov, 2023

Price of politics

THE big parties are not at all shy about the high price they have set on political ambition. According to a recent...