Debt Burden

Per capita debt burden, which is the sum of per capita domestic debt as well as per capita external debt, has been increasing over the years. Specially, since FY 2006-07 per capita debt burdens have been showing a sharp increasing trend. In FY 2012-13 and FY 2011-12, per capita debt burden has increased by Tk. 407.65 and Tk. 656.20 respectively. In FY 2012-13, per capita
debt burden stood at Tk. 3389.84. Total debt has increased from Tk. 45210 crore in FY 2011-12 to Tk. 52068 crore in FY 2012-13. The ever-rising public debt has been exerting a serious pressure on the macro-economic stability of the country.

This debt also puts an upward pressure on the real rate of interest by crowding the private investment out. In FY 2012-13, the rate of growth in per capita debt burden has decreased compared to previous fiscal year, but this rate is still higher than the rate of growth in per capita GDP in FY 2012-13. In FY 2012-13, the rate of growth in per capita GDP and the rate of growth in per capita debt burden stood at 11.6 percent and 13.7 percent respectively.