Domestic debt up by Rs 520bn during July-May 2007-08

[Naveed Yaseen]

KARACHI: The country’s domestic debt rose by Rs 520 billion during the first eleven months of the current financial year, according to official data.

The floating debt increased by Rs 397.5 billion, unfunded debt by Rs 68.5 billion and permanent debt by Rs 54 billion during the period mentioned above.

Within the floating debt category, the highest increase was seen in borrowing through MTBs for replenishment. The government borrowed Rs 527.5 billion through this instrument. However, it paid back Rs 129.9 billion borrowed earlier through market treasury bills.

The government raised Rs 38.5 billion through Bahbood Savings Certificate, Rs 18.578 billion through Pensioners’ Benefit Accounts and Rs 13.6 billion through Special Saving Certificates (Reg).

Within the permanent debt category, the highest increase was seen in borrowing through Pakistan Investment Bonds. The government raised Rs 57.4 billion through PIBs. It also raised Rs 8.5 billion through prize bonds.

http://www.dailytimes.com.pk/default.asp...008_pg5_10