The provincial governments have outpaced the federation in borrowing money from the commercial and the State Bank after the devolution process.
During the first nine days of the current fiscal year, the provinces had borrowed a collective amount of Rs 47.60 billion, which is 400 percent more than previous year’s Rs 9.30 billion for similar period. The federation borrowed Rs 7.63 billion during this period. KP government borrowed Rs 8.85 billion, Punjab Rs 22.6680 billion, followed by Sindh at Rs 8.2420 billion, and Balochistan at Rs 7.8650 billion.
Meanwhile for the first tens of the last fiscal year, the federal government had borrowed about Rs 66.8480 billion, while the credit balance possessed by federal government during first 10 days of the fiscal year stood at Rs 7.63 billion.
