Pakistan’s Public Debt Hits Rs97 Trillion, Burdening Citizens
Pakistan’s public debt has sharply increased to Rs97,307 billion, up from Rs89,774 billion in the previous year, marking a rise of Rs7,533 billion within 12 months. This surge has heightened the financial pressure on the country’s economy, with every Pakistani now carrying an average debt burden of Rs333,000.
Official data reveals that the per-capita debt increased by approximately Rs39,000 in just one year. The total public debt has now surpassed Rs80.5 trillion, which is nearly 70% of Pakistan’s gross domestic product (GDP). The overall debt-to-GDP ratio has climbed to 76%, reflecting the rising concerns of economists about the sustainability of fiscal policies.
Currently, Pakistan’s GDP stands at about Rs127,000 billion. Economists illustrate the scale by noting that if the country were a household earning Rs127, its outstanding debt would equal Rs76 of that income. This comparison underscores the substantial weight of borrowing relative to economic output.
Moreover, official records indicate the average annual income of a Pakistani citizen is approximately Rs532,000. The mounting debt level now constitutes a significant portion of yearly earnings, emphasizing the growing financial challenge for individuals and the government alike.
Experts warn that if the government continues borrowing at this rate, it will face serious challenges in maintaining fiscal discipline and effectively funding development projects. Public welfare programs and infrastructure investments may also suffer if the rising debt trajectory is not controlled soon.
The growing debt burden raises critical questions about Pakistan’s economic stability and the government’s ability to manage its finances amid increasing fiscal pressures.