The rising govt debt
The SBP has released the data on the level of gross government debt as of the end of November 2021. It stands at Rs 40,973 billion. The likely level of…
Avoiding international sovereign debt crisis
“The COVID-19 crisis has made painful sovereign-debt restructurings inevitable for many countries... The World Bank estimates that as many as 100 million people could fall into extreme poverty as a direct result…
Who has more in the tank? Currency markets sharpen focus on debt and deficits
Bond markets have taken in their stride the trillions of dollars in pandemic spending by governments, but investors in currency markets are getting nervous about countries’ remaining fiscal firepower. With…
Unshackling debt shackles
It is now officially admitted that the coalition Government of Pakistan Tehreek-i-Insaf (PTI) secured over $13 billion in foreign loans in the fiscal year 2019-20 alone! It was the second…
Desperate call for debt relief
Last week, Prime Minister Imran Khan once again urged the global community, particularly financial organisations, to offer debt suspension and relief to help developing nations recover from the crisis triggered…
Financing social protection without incurring debt
Expenditure on social protection will lead to accumulation of debt if not financed through revenues, grants or donations. A part of expenditure on social protection can easily be financed through…
Poorest countries will follow a tricky path back to debt markets
Ghana and Pakistan’s return to international debt markets this week, a year after Covid slammed them shut, has been an encouraging sign for the world’s poorest countries, but investors still…
Rise in federal govt debt
The SBP has released the number on the stock of Federal Government debt as of the end of November 2020. This debt now stands at Rs 35.8 trillion compared to…
Domestic revenues
Domestic Resource Mobilisation (DRM) is the cornerstone of taming debt growth, providing governments with adequate funds for development and delivering public services. Weak administrative capacity, low tax morale and compliance,…
Sovereign debt
THE recently released Debt Policy Statement for 2019-20 is a sobering reminder of Pakistan’s massive public debt vulnerabilities. The report places Pakistan’s public debt to GDP ratio at 85 percent…
