Every single Pakistani is now under Rs 153,789 debt as per capita debt climbed by 28%

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Every single Pakistani is now under Rs 153,789 debt as per capita debt climbed by 28%

ISLAMABAD - Every single Pakistani is now under Rs 153,689 of debt as the per capita debt climbed by 28% at the end of the fiscal year. The Ministry of Finance has worked out per capita debt on the assumption of total population of 212.8 million, assuming 2.4% annual population growth.

The numbers were released by the Ministry of Finance as they told the National Assembly that public debt was continuing to climb after they missed all of their budget strategy targets. The details were released as part of the government’s annual Fiscal Policy Statement.

Last year, the per capita debt had been recorded at Rs24.9 trillion and the Ministry of Finance at that time worked out the per capita debt at Rs120,099. The resultant 28% increase has amounted to Rs33,590 per capita debt.

This means that the Pakistan Tehreek i Insaaf (PTI) government has followed in the footsteps of its predecessor, the Pakistan Muslim League Nawaz (PML-N) federal government, by breaching the debt reduction limits set in the Fiscal Responsibility and Debt Limitation Act of 2005.

The PTI government presented its annual Fiscal Policy Statement to the National Assembly as per the act, which has revealed the climbing rate of per capita debt.

The fiscal policy statement showed that the total public debt was recorded at Rs32.7 trillion at end June 2019, resultantly, public debt per capita stood at Rs153,689 at end June 2019.

However, if we take September 2019 debt level, the per capita data has further increased to over Rs160,000 per person.

OpEd