The PTI-led coalition has enumerated the successes that it has achieved upon completion of its first year in power. No doubt, it has shown a great deal of sincerity of purpose insofar its approach to myriad challenges facing the country in various areas including country's economy, is concerned.
The economy, however, presents a mixed picture of its successes and failures. For example, the data shared recently by the SBP reveals that the level of government debt has grown sharply during the course of this year by 34%, and from 70.4% of GDP at the end of June 2018 to 82.8% on June 31, 2019. The bigger increase, as pointed out by noted independent economists Dr Hafiz Pasha and Shahid H Kardar, is in the component of external debt, around 42%, much of it explained by the 34% depreciation in the exchange value of the rupee. They point out that more intriguing upward movement, of 26.3%, is in the size of domestic debt. Its ratio to GDP at the end of the year has risen to 53.8% from 47.7% of GDP a year earlier, an increase of over 6 percentage points of GDP in just one year.
The situation therefore is still far from satisfactory as far as country's debt challenge is concerned. Hence the need for more concerted efforts to deal with this challenge.
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