Govt retires Rs270bn debt in a week

December 01, 2025 (MLN): The government of Pakistan has retired a debt of Rs269.93 billion during the week ended November 21, 2025, which brings its total net retirement for ongoing fiscal year 2026 to Rs1.36 trillion, 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 Rs276.13bn, while the borrowing for commodity operations stood at Rs6.22bn.

Meanwhile, a total of Rs26m was retired off others during the week.

Accordingly, this takes the cumulative retirement off the current fiscal year 2026 to Rs1.39 trillion for budgetary support, Rs21.77bn borrowing for Commodity Operations, and Rs1.22bn 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 Rs1.31 trillion to the central bank, out of which the Federal Government retired Rs1.29 trillion whereas, the Provincial Government borrowed Rs9.25bn, AJK Government retired Rs19.16bn, and the GB Government retired Rs13.21bn.

On the other hand, the government has retired a net total of Rs70.91bn to scheduled banks. Out of this amount, the Federal Government borrowed Rs1.89bn while the Provincial Government retired Rs72.81bn.

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