The government’s payment on interest for loans will increase in the coming days despite reducing the rate of interest on borrowings, according to an official document. The government has to pay some Tk 775.5 billion for interest payment in the coming 2022-23 fiscal which is 11.8 per cent of the total budget, says the document obtained by UNB. The overall interest rate will be 5.1 per cent for the next fiscal, down from 5.3 per cent in the running FY2021-22. The document says that some Tk 698 billion will be given as interest for the loans taken from the domestic sources while Tk 77.6 per cent for the external sources. The amount of interest payment has been projected at Tk 881.6 billion for the FY2023-24, which is 11.8 per cent of the total budget with 5 per cent interest rate. Also read: Govt aims to reduce budget deficit to 5.7% in upcoming financial year, says official document The document mentions that some Tk 794.3 billion will be paid as interest for the loans taken from the domestic sources while Tk 87.3 per cent for the external sources. For the running FY2021-22  the government has earmarked Tk 685.9 crore as interest payment, which is 11.4 per cent of the total budget and the overall interest rate is 5.3 per cent.