KP‘s economic resilience shines despite debt misconceptions: Muzzammil Aslam
DLP Report
PESHAWAR
Advisor to the Khyber Pakhtunkhwa Chief Minister on Finance and Interprovincial Coordination, Muzzammil Aslam, has denied the contents of a news story about the province’s debt and termed it as “misleading.”
In a statement issued here, Muzammil Aslam clarified that the debt of KP is minimal when compared to its Gross Domestic Product (GDP) and revenue receipts.
Aslam highlighted that the province’s estimated GDP is approximately $40 billion, while its debt stands at only $2.5 billion. This ratio, he argues, indicates that the province’s financial situation is manageable and that concerns about the debt are exaggerated.
MrAslam claimed the province’s remarkable economic resilience, with a 3.9 percent growth rate last year, surpassing Pakistan’s 2.5pc growth rate.
Advisor on Finance also noted that KP’s debt servicing is less than 5pc of its total receipts, significantly lower than the federal government’s 90pc.
The finance advisor clarified that the increase in debt was not due to extraordinary borrowing but rather the 75pc devaluation since April 2022.
He also revealed that the province has refused three foreign loans in the last couple of months, contradicting claims that lenders were unwilling to lend money to KP.
Mr. Aslam termed such claims as “blatant lies” and emphasized the need for responsible journalism, stating that reporters should obtain comments from relevant entities before publishing a story.
