Govt retires Rs158bn debt in a week

December 30, 2025 (MLN): The government of Pakistan has retired a debt of Rs158.01 billion during the week ended December 19, 2025, which brings its total net retirement for ongoing fiscal year 2026 to Rs305.13bn, according to the central bank's weekly estimates. 

The government sector borrowings are divided into three broad categories based on the purpose of loan which are budgetary support, commodity operations, and others.

Split three ways between these broad categories, the weekly net retirement off budgetary support was Rs157.81bn, while the retirement off commodity operations stood at Rs264m.

Meanwhile, a total of Rs64m was borrowed for others during the week.

Accordingly, this takes the cumulative retirement off the current fiscal year 2026 to Rs322.78bn for budgetary support, Rs18.95bn borrowing for Commodity Operations, and Rs1.3bn retirement off others.

The two biggest sources of financing for budgetary support are the State Bank of Pakistan and the scheduled banks.

This fiscal year, the government has paid off a net sum of Rs1.26 trillion to the central bank, out of which the Federal Government retired Rs1.18 trillion whereas, the Provincial Government retired Rs41.78bn, AJK Government retired Rs15.87bn, and the GB Government retired Rs16.69bn.

On the other hand, the government has lent out a net total of Rs936.46bn to scheduled banks. Out of this amount, the Federal Government borrowed Rs1.02tr while the Provincial Government retired Rs83.41bn.

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