Pakistan’s Public Debt-to-GDP Ratio Increased to 87.2% in June 2020: Finance Ministry

Pakistan's Ministry of Finance has announced that the country’s public debt had surged to PKR 36.3 trillion as of the 30th of June 2020, resulting in a public debt-to-gross domestic product (GDP) ratio of 87.2% in June 2020.

According to the State Bank of Pakistan, the public debt-to-GDP ratio which had stood at 86.1% in June 2019 had declined to around 84% by December that year, due to curtailed expenditure controls and an increase in tax collection. In February 2020, the Ministry of Finance announced a primary surplus. However, the ramifications of the COVID-19 pandemic impacted this trajectory, widening the Government of Pakistan’s deficit and causing the public debt-to-GDP ratio to climb up to 87.2% by Ju...