The International Monetary Fund has projected an increase in Pakistan government gross debt - by 0.7 percent - to 68.7 percent of the Gross Domestic Product (GDP) in 2018 against 68 percent in 2017. According to the IMF "Fiscal Monitor, tackling inequality," it has been projected that the government gross debt would rise to 68.7 percent of the GDP in 2018 and then decline to 68.2 percent in 2019.

The Fund has projected an increase in government net debt by 0.8 percent - to 62.4 percent of GDP in 2018 against 61.6 percent in 2017. The government revenue is projected to increase by 0.5 percent - to 16.2 percent of the GDP) in 2018 against 15.7 percent during the same period of 2017. The government expenditure is projected to increase to 21.7 percent of GDP in 2018 as compared to 21.3 percent in 2017, but projected to increase to 22.2 percent by 2019. The Fund further projected Pakistan budget deficit at 5.4 percent for 2018 against 5.7 percent for 2017.

According to the report, the country's maturing debt in 2017 is estimated at 27.7 percent of GDP and by 2018 it would decline to 26.7 percent. According to the report, there would be total financing need of about 33.4 percent of the GDP in 2017 and total financing needs narrowing down to 32.1 percent of the GDP by 2018.

Copyright Business Recorder, 2017