Tuesday, 7 June 2016

MoF says federal debt to be reduced to 53% of GDP in 2016

The Finance Ministry (MoF) says the Federal Government's debt will be reduced to 53% of the gross domestic product (GDP) in 2016 from 54.5% at end-2015.

It said on Tuesday the Government was on track to reduce the fiscal deficit to 3.1% of GDP in 2016 from 3.2% in 2015 under its current fiscal consolidation programme.

Responding to a news report by Nikkei Asian Review on June 3 about the country's rising debt which it described as baseless, the MoF said the Government expected to achieve a balanced budget by 2020.

The MoF said the Government was committed to ensure the debt did not exceed 55% of GDP.

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