Pakistan’s Escalating Debt: How Every Citizen Owes Rs 295,000

Pakistan is grappling with a growing debt crisis, where every citizen now carries a staggering debt load of Rs 295,000. This increase reflects the country’s escalating economic challenges, fueled by frequent borrowing, high-interest payments, and budget deficits. The national debt has ballooned, causing widespread concern about the country’s financial future.

Factors contributing to this debt include heavy reliance on foreign loans, reduced export earnings, and a rising import bill. Moreover, the pandemic’s economic fallout has intensified the pressure, leading to further borrowing to stabilize the economy. This has resulted in a worsening debt-to-GDP ratio, signaling financial distress.

For Pakistan to navigate out of this crisis, experts suggest that the government must implement stringent economic reforms, focus on export growth, and minimize unnecessary expenditures. Without immediate intervention, the debt burden will continue to increase, potentially jeopardizing future economic stability and prosperity.