New data released by the World Bank has revealed critical information regarding the massive debt crisis facing Pakistan. The country's external debt stock, which stood at US$ 68.7 billion in 2015, surged sharply to US$ 135.1 billion by 2025.
Key Highlights:
- Debt rose from US$ 68.7 billion in 2015 to US$ 135.1 billion by 2025.
- US$ 107.08 billion of the total debt consists of public and publicly guaranteed debt.
- China remains the top bilateral creditor, accounting for US$ 22.4 billion.
Breakdown of debt
Out of this total debt burden, US$ 107.08 billion is reported to be public and publicly guaranteed debt. In addition, non-guaranteed private sector external debt stands at US$ 17.58 billion, while short-term external debt is recorded at US$ 10.45 billion.
Among public sector borrowings, the largest share of US$ 56.83 billion was obtained from multilateral financial institutions, while US$ 42.43 billion was secured from bilateral creditors.
China remains the largest creditor
Foreign media reports note that China continues to be Pakistan's largest single bilateral creditor. Accordingly, it is further revealed that Pakistan's total outstanding debt payable to China stands at approximately US$ 22.4 billion.
