GOVERNMENT is focusing on setting domestic debt at 70 per cent with 30 per cent for external borrowings.

The Ministry of Finance chief accountant Pankaj Singh says they are focusing on domestic debt and external debt at 70:30.

“Our priority here is all our borrowings should be channelled to capital expenditure,” Mr Singh said at the Pacific Finance Ministers Meeting on Denarau Island in Nadi last Friday.

In the case of Fiji, he said, Government was working to achieve all its operating expenditure through operating revenue so that all the borrowings were channelled to capital expenditure.

“And I think that is the focus for most of the countries because if you mobilise your funds through capital expenditure, you are building an economic capacity in the economy.

“Government’s debt level as a percentage to gross domestic products has been declining over 53 per cent as proportionate to GDP at 2012. It has declined to around 46.3 per cent in 2015,” Mr Singh said.