Islamabad: The governments’ borrowing policy over the last decade has brought the country to the brink, as the debt servicing has now become the biggest challenge on expenditures front in the federal budget in the wake of huge domestic and foreign borrowings, as Pakistan’s external public debt rose by $1.2 billion in six months to $86.35 billion as of Sept, 2023. APBF president Syed Maaz Mahmood, quoting the data, pointed out that the external debt was recorded at $86.36billion and domestic debt was recorded at Rs39.5 trillion of the total public debt at the end of Sept 2023. In its first quarterly report on Foreign Economic Assistance of the current fiscal year, the ministry said Pakistan had received total foreign inflows of $3.5b in July-Sept 2023 against loan repayments of $1.5b, resulting in a net inflow of $1.97b. APBF Chairman Ibrahim Qureshi observed that country’s fiscal policy over the past decade has focused primarily on macroeconomic stabilization in response to the financial crisis, calling for more emphasis on reforms to foster long-term inclusive growth by adapting to advancing technology and deepening global integration. APP
