Government domestic debt, liabilities rises by 25.48% YoY to Rs40.37tr in September

November 10, 2023  (MLN): The total government domestic debt and liabilities have risen by 25.48% YoY to Rs40.372 trillion in September 2023, compared to Rs32.173tr in September 2022, the latest data released by the State Bank of Pakistan (SBP) showed.

On a sequential basis, the debt of total government domestic debt and liabilities have inched down by 0.23% MoM compared to Rs40.466tr in August 2023.

According to details provided by the State Bank of Pakistan (SBP), the larger portion of the debt was permanent debt, which totaled Rs27.393tr, signifying a growth of 27.61% YoY.

This comprised Rs26.532tr in federal government bonds, Rs474.9 billion in SBP's on-lending to the government of Pakistan against SDRs allocation, Rs382.5bn worth of prize bonds, and the remaining Rs2.8bn in market loans.

The floating debt rose by 32.06% YoY in September to Rs8.88tr compared to Rs6.73tr in the same period last year.

Out of the total floating debt, Market Treasury Bills comprised the major proportion and stood at Rs8.81tr in September 2023.

On the other hand, the government's unfunded debt fell by 7.48% YoY to Rs2.915tr in September 2023, primarily due to a significant drop of 7.2% in saving schemes, which amounted to Rs2.813tr compared to Rs3.031tr in the same period last year.

Foreign currency loans rose significantly as they clocked in at Rs386.2bn in September 2023, compared to Rs9.6bn in September 2022, and Rs410 in August 2023.

Borrowing through Naya Pakistan Certificates also rose by 16.82% YoY to Rs31.456bn in September 2022.

Conversely, on a sequential basis, it fell by 17.02% MoM in September compared to Rs145.5bn in August 2023.

Moreover, domestic liabilities of the government fell by 6% YoY to stand at Rs674.5bn in September 2023.

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