Agency, Islamabad.
Published by: Jeet Kumar
Updated Sun, 27 Feb 2022 02:32 AM IST
Summary
The Ministry of Economic Affairs said that it has booked gross external debt of $ 11.8 billion in the July-January period of the financial year 2021-22.
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Expansion
Economic expert Tahir Abbas, quoted by The Express Tribune newspaper, has said that no one expected that the deficit would rise to such a high level. The State Bank of Pakistan (SBP) also said on its official Twitter handle that the current account deficit has widened largely due to the fully financed type of imports.
Its rise is also believed to be due to the increase in international crude oil prices to more than $100 per barrel due to Ukraine crisis.
Whereas, according to SBP data, the total debt shares of the government have shown an increase of 8 per cent in the first half of the current fiscal, taking the total domestic and foreign debt to an all-time high. According to economists, if the situation is not controlled immediately, inflation will cause problems in front of the public.
Growing economic chaos in the country: Bhutto
The leader of the opposition PPP in Pakistan, Bilawal Bhutto has said that the country is badly trapped in the debt trap and the Imran Khan government is looking for new means of reducing debt. The government is busy finding ways to increase foreign direct investment while the existing loan products are inadequate to meet the growing borrowing needs. In such a situation, economic anarchy is increasing in the country.
Fear of rising poverty rate
The all-time high current deficit figure comes at a time when Pakistan’s debt and liabilities hit an all-time high of Rs 51.724 trillion in December. The Ministry of Economic Affairs said that it has booked gross external debt of $ 11.8 billion in the July-January period of the financial year 2021-22. In such a situation, the poverty rate in the country is expected to increase further amid the increasing debt trap.
Oil prices from Monday 8-10 Rs. increase per liter
According to a report in Pakistani newspaper Dawn, the prices of all petroleum products in the country are likely to increase by Rs 8 to 10 from Monday. One reason for this is the increase in the price of crude oil at the international level. Whereas the real reason is currency devaluation along with the petroleum levy. Petrol and high speed diesel prices are likely to increase by Rs 5.60 and Rs 4.50 per liter respectively. Similarly, the prices of kerosene and light diesel oil may increase by Rs 4 and Rs 3.70 per liter respectively.