Govt borrows Rs91.4bn debt in a week

July 31, 2024 (MLN): The government of Pakistan has acquired an additional debt of Rs91.44 billion during the week ended July 19, 2024, which brings its total net borrowing for ongoing fiscal year 2025 to Rs120.58bn, 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 borrowing for budgetary support was Rs184.9bn, while the retirement off commodity operations stood at Rs93.42bn.

Meanwhile, a total of Rs35.87m was retired off others during the week.

Accordingly, this takes the cumulative borrowing for the current fiscal year 2025 to Rs92.92bn for budgetary support, Rs212.58bn retirement off Commodity Operations, and Rs0.92bn retirement off others.

The two biggest source of financing for budgetary support are the State Bank of Pakistan and the Scheduled Banks.

This fiscal year, the government has borrowed a net sum of Rs345.07bn from the central bank, out of which the Federal Government borrowed Rs381.76bn whereas, the Provincial Government retired Rs34.43bn, AJK Government retired Rs2.11bn, and the GB Government retired Rs0.15bn.

On the other hand, the Scheduled Banks have retired a net total of Rs252.15bn out of which the Federal Government retired Rs252.15bn while the Provincial Government retired Rs0bn.

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