The deficit retained increasing fast, from 6.5 percent in 17/18 to about 9.1percent in 18/19 and 8.1percent in 19/20 (along with the deficit was 8.1percent instead of even higher because the government let circular debt increase at record levels). The record-high deficits in PTI’s two years led to the largest increase in public debt ever seen. The authorities increased gross debt by 11,444 billion in just two years (compared to Rs10,661 billion in PMLN in 5 years). Our debt to GDP has gone from 72% to 87% in two decades. Similarly, total external debt & liabilities to GDP has also increased from 33.4% in June ’18 to 45.5% in June ’20. Our entire debt and external debt ratios are now increasing at a dangerous clip. The government has also failed to increase tax collection.
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