Pakistan's domestic debt climbs 11 pc to Rs 58,089 billion in April: Report
New Delhi, June 11
Pakistan's gross government domestic debt and liabilities rose to Rs 58,089 billion in April, according to a report.
A report by The Express Tribune -- highlighting State Bank of Pakistan (SBP) data -- said that this compares with Rs 57,566 billion (Pakistani rupee) in March, while on a year-on-year basis, domestic debt rose 11 per cent from Rs 52,523 billion in April 2025.
The increase was driven mainly by floating debt and long-term securities, indicating continued reliance on both short-term and medium-to-long-term borrowing instruments to meet fiscal requirements, it added.
In addition, permanent debt stood at Rs 43,845 billion in April, which is higher than Rs 41,160 billion a year earlier.
Within this category, federal government bonds remained the largest component at Rs 42,938 billion, compared with Rs 40,279 billion in April 2025.
Floating debt emerged as the most dynamic segment, rising to Rs 10.56 trillion in April, up from Rs 9.58 trillion in March and Rs 8.32 trillion a year earlier.
Market Treasury Bills (MTBs), the largest component of floating debt, increased to Rs 10.43 trillion compared with Rs 8.23 trillion a year earlier, reflecting sustained reliance on short-term borrowing to manage liquidity and budgetary pressures.
However, Pakistan's external liabilities stood at Rs 23,841 billion compared with Rs 22,959 billion in March 2026 and Rs 22,959 billion a year earlier.
As a result, central government cumulative debt rose to Rs 81,930 billion from Rs 74,936 billion in April 2025, marking a 9.33 per cent year-on-year increase.
The report pointed out that the pace of increase remains relatively moderate due to fiscal consolidation efforts and improved revenue collection.
It added that external debt also rose, supporting foreign exchange reserves amid a contained current account deficit.
— IANS
Reader Comments
Interesting how domestic debt is rising but external debt and foreign reserves are also increasing. I suppose this means they're taking loans from both inside and outside the country? Classic case of borrowing to pay off existing debts - this never ends well. 😬
Our neighbour's economy seems to be in a very fragile state. Debt of Rs 81,930 billion overall is massive for a country that size. I hope they get their fiscal consolidation right soon, because a stable Pakistan is better for the whole region. Let's not be happy at anyone's misery - yaani, sabko sukoon chahiye.
The 11% rise in domestic debt is concerning, but I appreciate that the article also mentions moderate pace due to fiscal efforts. Still, relying so heavily on short-term borrowing (Market Treasury Bills) is like using a credit card with high interest. 😅 Hope they diversify and lower dependency.
As someone who follows global economics, this doesn't look good. Pakistan's debt-to-GDP ratio must be through the roof. The only silver lining is improved revenue collection. Let's hope it's not just political talk - they need real structural reforms.
The central government debt rising 9.33% year-on-year is significant. I recall reading about IMF loans and other assistance, but this shows Pakistan needs to boost its exports and cut unnecessary expenditures. Ab toh apne haath mein hai, baaki log madad kar sakte hain lekin khud bhi karna padega. 👏
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