The ratio of national debt to gross domestic product (GDP) in Pakistan was forecast to continuously decrease between 2024 and 2029 by in total 8.6 percentage points. After the fourth consecutive decreasing year, the ratio is estimated to reach 60.68 percent and therefore a new minimum in 2029. This indicator describes the general government gross debt in relation to the country's GDP. According to the International Monetary Fund, gross debt consists of all liabilities that require payment or payments of interest and/or principal by the debtor to the creditor at a date or dates in the future. The GDP, on the other hand, refers to the total value of final goods and services produced during a year.Find more key insights for the ratio of national debt to gross domestic product (GDP) in countries like Nepal, Afghanistan, and Bangladesh.

The ratio of national debt to gross domestic product (GDP) in Bangladesh was forecast to continuously increase between 2024 and 2029 by in total 3.2 percentage points. After the fifth consecutive increasing year, the ratio is estimated to reach 41.67 percent and therefore a new peak in 2029. This indicator describes the general government gross debt in relation to the country's GDP. According to the International Monetary Fund, gross debt consists of all liabilities that require payment or payments of interest and/or principal by the debtor to the creditor at a date or dates in the future. The GDP, on the other hand, refers to the total value of final goods and services produced during a year.Find more key insights for the ratio of national debt to gross domestic product (GDP) in countries like Pakistan, Afghanistan, and Bhutan.

In 2018, the estimated average inflation rate in Pakistan amounted to about 3.93 percent compared to the previous year, a slight drop from 2017, but an ever sharper one compared to four years earlier. Over the next few years, forecasts estimate it to level off at around 6.5 percent.

Pakistan‘s more or less fragile economy

Pakistan is one of the most populous countries in the worldwith a large Muslim population and a rather low urbanization rate, which means that the majority of Pakistanis live in rural areas. However, the majority of the country's GDP is generated by the services sector, which also employs most of the workforce. As of now, Pakistan’s economic growth seems stable, but that wasn’t always the case.

Stable growth ahead?

Like many others, Pakistan’s economy suffered during the 2009 financial crisis, and while it has recovered today, inflation was still over 10 percent in 2012. GDP slumped during that time as well, but now, ten years later, it has almost tripled and seems to be on an upward trend. Although its GDP generation now mainly relies on services, Pakistan still exports agricultural goods like cotton. However, the country still struggles with an increasing trade deficit and thus rising national debt – two factors that could hinder economic growth in the future.