External debt and liabilities swell to $115.7 billion : vima

External debt and liabilities swell to $115.7 billion


Business
February 18, 2021
KARACHI: Pakistan’s foreign debt and liabilities increased $3 billion or 2.6 percent during the six months period ended in December last, the central bank’s data showed on Wednesday
Till December, external debt and liabilities totaled $115.7 billion compared to $112.7 billion till June-end. Total external debt and liabilities were $110.7 billion till December 2019, according to the State Bank of Pakistan (SBP).
Economist Ashfaque Khan said external debt and liabilities (EDL) were increasing sharply even before the start of the coronavirus pandemic due to falling exports, sharp depreciation of exchange rate, tight monetary policy and a decline in non-debt creating inflows.
“However, COVID-19 has further intensified the country’s debt situation,” said Khan. “When Pakistan is in the IMF’s [International Monetary Fund] program, the debt accumulates rapidly.”

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