Salman Akram Raja says reliance on borrowing deepening Pakistan’s economic woes

Pakistan Tehreek-e-Insaf (PTI) leader Salman Akram Raja has warned that continued reliance on borrowing could worsen Pakistan’s economic problems, stressing that comprehensive reforms are essential for long-term stability, 24NewsHD TV reported on Sunday.

Addressing a seminar, Raja said the country's economic challenges could not be resolved without fundamental reforms.

He argued that even long-term budget planning would remain ineffective unless structural changes were introduced to improve the financial system.

He said dependence on loans was increasing economic vulnerabilities and called for major changes to the existing fiscal framework.

According to him, meaningful reforms are now a necessity rather than a choice if Pakistan is to overcome its economic crisis.

Raja questioned the policy of financing government affairs through borrowing, warning that economic difficulties would continue to grow if reforms were delayed.

He emphasized that sustainable economic growth and stability require broad-based and lasting changes in governance and financial management.

The PTI leader also expressed hope that the government would make sound decisions to address the country's economic challenges.

He noted that Pakistan's national debt had increased by approximately Rs40 trillion over the past four years, describing the near doubling of the overall debt burden as a matter of serious concern.

According to Raja, the current volume of public debt is now comparable to the total amount accumulated over several previous decades.

He said nearly 37 percent of the federal government's expenditures are spent on debt servicing, placing a heavy burden on the national exchequer.

He further stated that after meeting defence and interest payment obligations, only limited resources remain available for development projects.

The growing debt burden, he said, is reducing the government's capacity to invest in infrastructure, public services and economic growth initiatives.

Raja called for effective and long-term measures to strengthen the national economy and ensure sustainable growth.