Pakistan’s Domestic Debt Drops by Over Rs. 1.6 Trillion in 3 Months

Pakistan's domestic debt has dropped by over Rs. 1.6 trillion in the first three months of the fiscal year, according to data from the State Bank of Pakistan. The outstanding stock of domestic debt fell to Rs. 57.757 trillion by the end of September, down from Rs. 59.393 trillion at the close of the previous fiscal year. The government's net retirement of scheduled bank debt reached Rs.

1.847 trillion during this period, compared to Rs. 45 billion in the same period last year. This decline in domestic debt can be attributed to a reduction in borrowing through long-term Pakistan Investment Bonds and short-term Treasury bills, as well as increased government revenues and intensified fiscal consolidation efforts under Pakistan's International Monetary Fund (IMF) program.

Despite this quarterly decline, Pakistan's domestic debt still increased by Rs. 4.331 trillion over the 12 months ending September 30, reflecting the accumulation of borrowing during FY26.

Brief written by urgent.news from ProPakistani's own syndicated text. Machine-written — may contain errors; check the original before relying on it.