Pakistan’s total debt declines by 2.2% in Q4FY13

[A1Kaid]

Pakistan’s total debt declines by 2.2% in Q4FY13


Saturday, August 17, 2013 E-Mail this article to a friend Printer Friendly Version



By Arshad Hussain

KARACHI: The overall external debt of the country has declined by 2.2 percent or $1.316 billion to $59.561 billion in the last quarter of the fiscal year 2012-13, which ended on June 30, 2013 as compared with $60.877 billion in the same period of last fiscal year.

“There is still an improvement in the external debt in last quarter of 2013,” an analyst said, adding, the government may not continue such a kind of improvement in the future as the government machineries are striving for further loan from the International Monetary Fund (IMF) to improve the economic situation.”

In the last fiscal year 2012-13, the total debt of the country declined by $5.917 billion to $59.561 billion on June 30, 2013, which stood at $65.478 billion on July 1, 2012.

The fall in total external debt and liabilities was mainly because of the repayment of loans to international financial institutions, particularly the IMF.

The State Bank of Pakistan has paid IMF loan of $2.950 billion in last fiscal year easing the loan from $7.337 billion to $4.387 billion on June 30, 2013. In the beginning of the last fiscal year 2013, the central bank’s IMF loan stood at $5.443 billion, which declined to $2.689 billion at the end of June 30, 2013.

Excerpt: Daily Times - Leading News Resource of Pakistan

 

[SBD-3]

This primarily because we paid off a huge chunk to IMF recently and debt will be back to its previous levels as the new IMF program gets introduced. Unless we don't have a strong fiscal and taxation structure along with booming export sector. Reducing foreign debt will always be a problem.

 

[anilindia]

This is the condition for fresh fund...