Federal Cabinet discusses national debts, repayments
Federal Cabinet discusses national debts, repayments
ISLAMABAD (Dunya News) - A meeting of the Federal Cabinet held under the Chairmanship of Prime Minister Imran Khan told that the government had inherited a loan of Rs30 trillion and it has to borrow more to pay the installments and avoid bankruptcy. The PTI government has borrowed about $24 billion so far.
According to details, a statement of the federal cabinet meeting chaired by Prime Minister Imran Khan has been issued. It was informed in the briefing that from tomorrow, the activities of schools across the country and the education of 30 million children will be restored.
Giving a detailed briefing to the meeting regarding the national debts and their repayment, it was said that the present government inherited a debt of Rs30 trillion. The government had to borrow more to pay the installments and avoid bankruptcy.
The briefing said that in terms of external debt, the government borrowed about $24 billion, of which 2 billion was raised during the interim government.
The meeting was informed that in the past, about $5.5 billion was repaid annually in the form of external loans. Under the current government, about $10 billion are being repaid every year.
The Prime Minister was informed that in 2019, government loans increased by Rs 7.7 trillion. The main reason for this was to restore the true value of the rupee.
The Federal Cabinet was briefed that the revenue of about Rs1 trillion was lost due to the Covid-19 and revenue of about Rs2.1 trillion was spend on repaying installments of loans taken by previous governments.
