10.21 billion dollars were paid in the first half of the year in terms of external debt and interest

Karachi: In the first half of the current financial year, Pakistan has paid 10.216 billion dollars in terms of interest on foreign debt and net debt, out of which about 19% of the amount has been paid in the form of interest.

According to State Bank data, in the first quarter, 3.448 billion dollars were paid in the form of external debt and interest, while in the second quarter, 6.768 billion dollars were made in the form of external debt and interest. $8.271 billion in net debt and $1.945 billion in interest were disbursed.

On the other hand, a significant increase was also observed in the trend of borrowing from local sources for the budget support of the government.

According to statistics, the largest creditor of the banking sector has become the federal government, while the private sector is avoiding loans due to high interest rates and unfavorable conditions for investment and trade.

From July to March, the federal government took loans of more than 2 thousand billion rupees for budget support. From July to March of this financial year, the value of budget support loans was 2,260 billion rupees.

The federal government took loans of 1,987 billion rupees from banks, while the borrowing of the government was 535 billion rupees in the same period of the previous financial year.

The private sector received business loans worth Rs 248 billion in this period, while the private sector had taken loans of Rs 911 billion in the same period of the previous financial year. Government institutions took loans of 151 billion rupees, while in the same period of last financial year, public sector institutions took loans of 18 billion rupees.