ISLAMABAD: Pakistan’s rising public debt has pushed the financial burden on each citizen to more than Rs333,000, according to the latest report released by the Ministry of Finance.
The report shows that per capita public debt increased from Rs294,098 in FY2023-24 to Rs333,041 in FY2024-25, reflecting a rise of around 13% or nearly Rs39,000 within a year.
Overall public debt reached Rs97.3 trillion during the fiscal year, compared with Rs89.8 trillion in the previous year, registering an increase of Rs7.5 trillion. Higher debt-servicing and interest costs were identified as key factors behind the rise.
Pakistan’s debt-to-GDP ratio now stands at approximately 76%, while the country’s economy is estimated at around Rs127 trillion. Analysts believe this growing debt burden is placing increasing pressure on national finances and limiting fiscal flexibility.
The report further noted that the average annual income per person is about Rs532,000, meaning the debt burden attributed to each citizen is equivalent to a substantial share of yearly earnings.
Economic experts have expressed concern over the continuing growth in public borrowing, warning that sustained debt accumulation could make it more difficult for the government to manage finances, fund development initiatives, and maintain social welfare programs in the future.
