Islamabad: Pakistan’s debt-to-GDP ratio has fallen to its lowest level in more than six years, standing at 65.7% as of September 2024. This represents a significant improvement, as the ratio was last recorded at this level in June 2018.
Financial brokerage firm Arif Habib Limited (AHL) reported that the domestic debt-to-GDP ratio is 43.1%, while the external debt-to-GDP ratio is 22.7%.
Data released by the State Bank of Pakistan (SBP) also revealed that the total public debt stock of the federal government stood at Rs. 69.570 trillion in September 2024, a decrease of 1.1% from the previous month.
This decline in the debt ratio indicates a positive shift in Pakistan’s financial health, as the country continues its efforts to manage its public finances and reduce reliance on external borrowing.