Auto financing in Pakistan rises to Rs271bn in May

June 18, 2025 (MLN): Automobile financing in Pakistan has increased to Rs271.24bn in May 2025, witnessing a rise of 3.01% MoM compared to Rs263.31bn recorded in April 2025, according to the latest data released by the central bank.

On a year-on-year basis, car financing increased by 16.51%, as in the same period last year, the figure for financing was reported at Rs232.79bn.

Going by the data provided by the State Bank of Pakistan (SBP), consumer financing for house building stood at Rs201.83bn by the end of May 2025, down by 1.69% YoY.

Month-wise, the financing for house building has increased by 0.41% compared to Rs201bn incurred in the previous month.

Meanwhile, financing for personal use clocked in at Rs268.4bn, up by 12.98% YoY and 0.04% MoM.

Thereby, the overall credit disbursed to consumers registered a rise of 13.77% YoY to clock in at Rs911.44bn. Compared to the credit of Rs891.81bn in the previous month, consumer financing has recorded a 2.2% MoM rise.

The data released by the central bank further showed that outstanding credit to the private sector rose 12.64% YoY to Rs9.47tr in May 2025.

On a sequential basis, private sector loans reported a drop of 0.18% MoM compared to the credit of Rs9.49tr in April.

Under the credit to the private sector, the loans to the manufacturing sector clocked in at Rs5.3tr in the review period, up by 10.58% YoY while down 1.33% MoM.

The borrowing from the construction sector stood at Rs218.94bn in May, up by 11.76% YoY and 1.24% MoM.

Going forward, the data further shows that loans to the agriculture, forestry, and fishing sectors rose to Rs464.73bn in the month under review, up by 20.67% YoY, and on a sequential basis, the loans to the same sector recorded growth of 0.78% MoM.

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