BR100 Increased By (0.01%)
BR30 Increased By (0.53%)
KSE100 Increased By (0.28%)
KSE30 Increased By (0.29%)
AGHA 6.38 Increased By ▲ 0.06 (0.95%)
BECO 4.35 Increased By ▲ 0.08 (1.87%)
BML 62.55 Increased By ▲ 0.10 (0.16%)
BOP 31.39 Increased By ▲ 0.16 (0.51%)
CNERGY 11.73 Increased By ▲ 0.14 (1.21%)
CSIL 5.91 Increased By ▲ 0.19 (3.32%)
FCCL 61.71 Increased By ▲ 0.17 (0.28%)
FFL 14.79 Decreased By ▼ -0.23 (-1.53%)
FNEL 1.24 Increased By ▲ 0.01 (0.81%)
KEL 6.32 Increased By ▲ 0.06 (0.96%)
KOSM 5.90 Increased By ▲ 0.34 (6.12%)
LOTCHEM 24.69 Increased By ▲ 0.01 (0.04%)
MLCF 103.93 Decreased By ▼ -0.15 (-0.14%)
NBP 173.32 Decreased By ▼ -1.96 (-1.12%)
NCPL 51.83 Decreased By ▼ -0.94 (-1.78%)
NPL 54.03 Decreased By ▼ -0.09 (-0.17%)
OGDC 315.87 Increased By ▲ 2.48 (0.79%)
PACE 9.26 Increased By ▲ 0.06 (0.65%)
PAEL 35.58 Decreased By ▼ -0.22 (-0.61%)
PIBTL 13.66 Increased By ▲ 0.19 (1.41%)
PPL 226.07 Increased By ▲ 4.26 (1.92%)
PRL 80.28 Increased By ▲ 1.20 (1.52%)
PTC 46.64 Decreased By ▼ -0.21 (-0.45%)
SSGC 23.82 Decreased By ▼ -0.05 (-0.21%)
TBL 9.24 Decreased By ▼ -0.07 (-0.75%)
TELE 7.55 Increased By ▲ 0.16 (2.17%)
TPL 24.54 Decreased By ▼ -0.57 (-2.27%)
TPLP 12.99 Increased By ▲ 0.48 (3.84%)
TREET 25.98 Decreased By ▼ -0.27 (-1.03%)
TRG 53.33 Decreased By ▼ -0.11 (-0.21%)

KARACHI: Heavy external debt is stagnating economy and social uplift of Pakistan, and unless this debt trap is broken, the country cannot get its true sovereignty and freedom, said Pasban Democratic Party (PDP) Chairman Altaf Shakoor here Sunday.

He said more than half of our national budget is being devoured by loans and their interest. The government takes new loans to retire old ones. This situation is ideal only for the lenders and bankers, who continue to suck the blood of Pakistani people. He said our lenders shape our policies and without their prior permission the Pakistani government cannot even give relief to its citizens.

However, PDP General Secretary Engineer Iqbal Hashmi said Pakistan has become a slave of the IMF and makes policies according to their directives. He said it is not easy to come out of this trap without sincere leadership and sound strategies.

Hashmi said after paying Rs 8.2 trillion which is 48 percent of the budget, nothing is left for economic development. He said IMF loan has slowed down the economic growth which is on average a meagre 3.5 percent in the last ten years. This year real GDP growth rate is predicted at 2.8 percent which is lower than the countries in the region. He said Pakistan’s GDP is stagnant at 375 billion dollars. A retail stores chain in the US earns more than double of this in terms of revenue. He said half of the Pakistani population lives below subsistence level and more are drowning into poverty each year.

He said rescheduling of principal amount each year is an indicator that Pakistan can not afford more loans but each year new loan provisions are inbuilt in the budget. He regretted that Pakistan has pledged all assets to get loans and now they get loans on the guarantees provided by friendly counties.

However, Altaf Shakoor added that the situation is not sustainable and someone should think out-of-the-box to break the shackles of loans. He said our economy is of the bankers and for the bankers, as only banks are thriving on the growing debt at the cost of poor Pakistanis.

He demanded to get passed a law from the parliament to ban new loans for next ten years, so as to provide some breathing space to our choking economy.

Copyright Business Recorder, 2025

Comments

Comments are closed for this article.