The Finance Ministry reported on Thursday that Pakistan has breached its legal public debt limit, with the debt-to-GDP ratio reaching 70.2% by the end of fiscal year 2025. This is significantly above the 60% threshold set under the law.
During a briefing to the National Assembly Standing Committee on Finance and Revenue, Director General of Debt, Finance Ministry, stated that the current debt level stands at 70.2%, exceeding the legally mandated limit of 60%.
Independent experts briefed the Committee on Pakistan’s public debt, providing detailed insights into the current debt dynamics, challenges, and the structural issues contributing to the rising debt burden. The experts also discussed the need for coordinated fiscal and monetary reforms to address the growing debt and its sustainability.
