Pakistan has revealed a startling figure – it has paid over USD 3.5 billion in interest on loans from the International Monetary Fund (IMF) over the past 40 years. This information was unveiled during a Senate committee meeting, where the Ministry of Finance presented details of loans and repayments made to the IMF. The revelation comes as Pakistan is poised to secure another IMF loan worth USD 7 billion, raising concerns about the country’s growing debt burden.
The United States is grappling with a staggering national debt of $34.5 trillion, which is triple that of the eurozone. This debt burden is expected to continue growing, reaching 134% of GDP by 2029. Rising deficits and interest payments are raising concerns about a potential fiscal crisis. The situation is particularly concerning as the government’s annual deficit is still high despite strong economic growth, and interest expenses are projected to increase significantly in the coming years.
