The public loan is one source of the state’s public revenues, and it does not happen regularly. The state usually resorts to this source in two cases: The first case: When taxes reach the maximum degree, in other words, the taxation power is exhausted. In this situation, the state is not allowed to impose more taxes otherwise this will lead to dangerous economic effects. The second case: When taxes do not reach the maximum degree, but imposing them can lead to violent reaction by taxpayers. Therefore, the public loan constitutes an effective method in the hands of the state to collect the savings that the taxes cannot obtain. Also, it is an important tool for the distribution of the financial burden between the loaners/ and taxpayers./ The public loan has raised a controversy about its nature, the burden it causes, and its appropriateness, and its impact/role in forming the national capital, etc… Thus, these issues will be discussed in accordance with an appropriate search plan.