Pakistan External Debt

[Tariq Habib Afridi]

? Nothing new. My position is clear, Nawaz and Imrandu both ruined Pakistan economy. Only now under establishment we are seeing some sense but its not enough. Pace of reforms are slow.

1. SOE's losses still pilling up.

2. Renegotiate NFC award as provinces are basically debt free while all of Pakistan debt is paid by federal government.

FY24-25 debt to GDP increased 3% to 73% which is unacceptable. Should be going down especially under IMF. Only reason is no reforms done.

I pitty on stupid people like you. the real enemy was musharaf. if we have not indulged directly on war on terror and we dont have blasts every other day. then we wont have lost around 200 billion usd in economy as well as our industry shifted to other countries like textile to bangladesh and FDI was also non existent. But still no one in pakistan will ever talked about the real cuplrit of all these mess we are now. Musharaf siachen was a failure, his kargil was even a bigger failure.

 

[Samlee]

? Nothing new. My position is clear, Nawaz and Imrandu both ruined Pakistan economy. Only now under establishment we are seeing some sense but its not enough. Pace of reforms are slow.

1. SOE's losses still pilling up.

2. Renegotiate NFC award as provinces are basically debt free while all of Pakistan debt is paid by federal government.

FY24-25 debt to GDP increased 3% to 73% which is unacceptable. Should be going down especially under IMF. Only reason is no reforms done.

The Rot Actually Started Under The PPP Whom You Are Praising.Uptil Then Both PIA and Pakistan Steel Were Profitable Under Musharraf.These Along With Power Sector Went To The Dogs Under PPP.

Also The Reason For SPike In Debt Is The NFC Award During PPP Era Which Resulted In Federal Government Being Under Perpetual Deficit

 

[Mr X]

FY15 was ideal which retarded Nawaz/Dar combo along with many others ruined it. By signing expensive IPPs CPEC contracts when there was no need for them. By selling borrowed $$ in market to keep rupee artificially stable.

The so called corrupt Zardari/PPP left Pakistan in fiscally strong position in FY14. Nawaz bastard left it near bankruptcy.

View attachment 146043



View attachment 146044

View attachment 146045

I disagree Sir. The rental power projects and the IPPs were the doing of PPP government which lead to a lot of problems. The power projects were imminent step during the PML-N government as the whole country was facing shortage of electricity by 18-20 hours. Although I agree the terms were not favourable in some projects and were bought at a very high price compared to our neighbouring nations. These steps were welcomed by everyone including PTI government at that time as it replicated their own vision of getting coal-projects if they came into power

 

[hydrabadi_arab]

The Rot Actually Started Under The PPP Whom You Are Praising.Uptil Then Both PIA and Pakistan Steel Were Profitable Under Musharraf.These Along With Power Sector Went To The Dogs Under PPP.

Also The Reason For SPike In Debt Is The NFC Award During PPP Era Which Resulted In Federal Government Being Under Perpetual Deficit

True, current NFC is disaster. It needs to change.

Musharraf didnt do much. Looking back work on Thar coal plants should have been started in early 2000’s. That would have solved Pakistan energy crisis.

 

[hydrabadi_arab]

I disagree Sir. The rental power projects and the IPPs were the doing of PPP government which lead to a lot of problems. The power projects were imminent step during the PML-N government as the whole country was facing shortage of electricity by 18-20 hours. Although I agree the terms were not favourable in some projects and were bought at a very high price compared to our neighbouring nations. These steps were welcomed by everyone including PTI government at that time as it replicated their own vision of getting coal-projects if they came into power

we only needed Thar coal power plants. The imported coal/LNG ones were not needed. Now we pay billions on capacity charges as they remain idle.

 

[Mr X]

we only needed Thar coal power plants. The imported coal/LNG ones were not needed. Now we pay billions on capacity charges as they remain idle.

The price of imported coal power plants was about 30% cheaper than Thar. The problem with Thar is that it’s not a good quality coal so the scientists were given task to convert the coal into Gas which in my opinion was semi successful.

 

[hydrabadi_arab]

The price of imported coal power plants was about 30% cheaper than Thar. The problem with Thar is that it’s not a good quality coal so the scientists were given task to convert the coal into Gas which in my opinion was semi successful.

Imported coal was expensive, now its even more so. The Pakistan luck is such when they sign IPPs on imported fuel they make economic sense but then price shotup 2-3x in few years.

Happened in 1994 oil based IPPs. And again with LNG and imported coal. Pakistan should have learned the lesson from 1994 IPPs.

But now problem is bigger as there is no demand as people move to solar systems.

 

[Mr X]

Imported coal was expensive, now its even more so. The Pakistan luck is such when they sign IPPs on imported fuel they make economic sense but then price shotup 2-3x in few years.

Happened in 1994 oil based IPPs. And again with LNG and imported coal. Pakistan should have learned the lesson from 1994 IPPs.

But now problem is bigger as there is no demand as people move to solar systems.

Once again, imported coal was cheaper at that time. Thar coal comes with baggage of problems which ultimately make it costly to produce.

Agree that IPPs caused big issue in the past as the leaders were not visionary.

 

[SoulSpokesman]

@hydrabadi_arab @Mr X

In hindsight, PAK should have gone for imported coal based project in 1990s. By now the debt would have been paid off and only cost would be fuel cost, which would still be affordable.

Imported Gas and imported oil based plants were always a bad idea. The only pluses were that they could be set up in very short time, which was critical as PAK was facing large power shortages.

Regards

 

[Rationale]

Our debt is in US dollars and it should be reported in that currency.

Pakistan government's external debt is around 87 billion dollars. That is a scarily high number. India, which has 10x the GDP and 40x the foreign reserves, only has around 70 bn in foreign government debt.

 

[hydrabadi_arab]

Pakistan government's external debt is around 87 billion dollars. That is a scarily high number. India, which has 10x the GDP and 40x the foreign reserves, only has around 70 bn in foreign government debt.

Pakistan external debt is $135bn as of June 2025.

India $736bn as of March 2025.

 

[Rationale]

Pakistan external debt is $135bn as of June 2025.

India $736bn as of March 2025.

I am talking about the government's external debt, not the country's .

Most of India's foreign debt is owed by private companies and individuals whereas the majority of Pakistan's foreign debt is owed by the Pakistani government.

If Coke India and Coke Pakistan borrow money from their parent company in the USA, it has no impact on the public finances of the two countries.

 

[Pakistan Space Agency]

... Its a fact so called mr 10% left Pakistan economy in strong position. Yes there was load shedding ...

And, what was that 18-20 hours of daily load shedding doing to the country in the early 2010s on top of America's Black Hitler doing his best to isolate Pakistan globally?

From Pakistan to Bangladesh

Over the past three years, manufacturers have faced numerous obstacles to smooth operations and profitability due to...

www.dawn.com

Energy woes: Over 40pc of textile industry has shifted to BD?

ABDUL RASHEED AZAD ISLAMABAD: More than 40 percent of the Pakistani textile industry and around 0.2 million power loo

www.brecorder.com

... but that could have ended without making expensive stupid IPPs on imported fuel like coal and LNG. Should have gone for more Thar coal power plants. ...

With what exactly? What do you do when you're desperate and you have no choices?

 

[Pakistan Space Agency]

Our debt is in US dollars and it should be reported in that currency.

It doesn't sound earth shattering in dollar terms, hence they get posted in Pakistani rupees.

Pakistan's external debt profile since Cartoon-e-Azam Imran Khan was removed.

Government​	Quarter​	Months​	Year​	Debt​
PTI​	Q3​	Jan-Mar​	2022​	$129.180 billion​
PDM​	Q4​	Apr-Jun​	2022​	$130.320 billion​
PDM​	Q1​	Jul-Sept​	2022​	$127.183 billion​
PDM​	Q2​	Oct-Dec​	2022​	$126.919 billion​
PDM​	Q3​	Jan-Mar​	2023​	$125.759 billion​
PDM​	Q4​	Apr-Jun​	2023​	$124.593 billion​
PDM/Caretaker​	Q1​	Jul-Sept​	2023​	$129.760 billion​
Caretaker​	Q2​	Oct-Dec​	2023​	$132.083 billion​
Caretaker/PML-N​	Q3​	Jan-Mar​	2024​	$131.115 billion (p)​
PML-N​	Q4​	Apr-Jun​	2024​	$131.045 billion​
PML-N​	Q1​	Jul-Sept​	2024​	$133.683 billion​
PML-N​	Q2​	Oct-Dec​	2024​	$130.854 billion​
PML-N​	Q3​	Jan-March​	2025​	$130.179 billion​
PML-N​	Q4​	Apr-Jun​	2025​	$134.970 billion​

State Bank of Pakistan

State Bank of Pakistan

www.sbp.org.pk

 

[Fatman17]

PAKISTAN’S debt dynamics continue to paint a difficult fiscal picture. The latest State Bank debt bulletin shows that the government had added Rs9.3tr in new debt during the last fiscal year, with the total public debt stock surging to a record Rs80.5tr at the end of June. It means that the government had added a staggering Rs25.4bn every single day.

This relentless rise not only breaches the limits set by the Fiscal Responsibility and Debt Limitation Act, but also undermines the budget as interest payments consume most of the latter.

Fiscal failure
https://www.dawn.com/news/1942062?utm_source=whatsapp