DID Press: A recent report from Pakistan’s Ministry of Finance reveals that the country’s total public debt has reached 80.52 trillion rupees.
In an official report to Parliament, the government stated that Pakistan’s public debt for fiscal year 2024–2025 has risen to 80.52 trillion rupees, approximately equivalent to 289.6 billion USD.
According to the report, the share of debt per Pakistani citizen has increased to 333,041 rupees (about 1,198 USD), and the debt-to-GDP ratio has reached 71.7%, exceeding Pakistan’s Fiscal Responsibility Law ceiling of 60%.
The Ministry of Finance attributed the debt surge to payments of roughly 8.9 trillion rupees in interest on previous debts, depreciation of the rupee, and rising military expenditures reaching 2.19 trillion rupees.
The ministry also acknowledged that in recent years the government has repeatedly violated the debt limit law and failed to maintain the debt-to-GDP ratio within legal bounds.
If this trend continues, financial pressure on citizens and the private sector could intensify, while the government’s capacity to invest in economic and social sectors may be curtailed.
For comparison, Iran, with foreign debt around 5 billion USD, is one of the world’s least-indebted countries and directs the bulk of its national income to public welfare. In contrast, Pakistan spends over 55% of its annual budget on debt servicing and interest payments.
Parliamentarians have urged the government to present a transparent plan to manage public debt and prevent a deeper economic crisis.