Govt domestic debt, liabilities rise 23.21% YoY to Rs43.91tr in March

May 15, 2024 (MLN): The total government domestic debt and liabilities have increased by 23.21% YoY to Rs43.91 trillion in March 2024, compared to Rs35.64tr in March 2023, the latest data released by the State Bank of Pakistan (SBP) showed.

On a sequential basis, domestic debt and liabilities have risen by 1.73% MoM compared to Rs43.16tr in February 2024.

According to details provided by the State Bank of Pakistan (SBP), the larger portion of the debt was permanent debt, which totaled Rs31.68tr, signifying a growth of 24.99% YoY.

This comprised Rs30.82tr in federal government bonds, Rs474.94bn in SBP's on-lending to the government of Pakistan against SDRs allocation, Rs383.37bn worth of prize bonds, and the remaining Rs2.84bn in market loans.

The floating debt rose by 34.9% YoY in March to Rs8.49tr compared to Rs6.3tr in the same period last year.

Market Treasury Bills comprised the major proportion of the total floating debt, and stood at Rs8.41tr in March 2024.

On the other hand, the government's unfunded debt fell by 6.94% YoY to Rs2.79tr in March 2024, primarily due to a significant drop of 6.55% YoY in saving schemes, which amounted to Rs2.7tr compared to Rs2.89tr in the SPLY.

Foreign currency loans increased significantly as they clocked in at Rs373.02bn in March 2024, compared to Rs295.73bn in March 2023.

Borrowing through Naya Pakistan Certificates also reduced by 32.59% YoY to Rs93.85bn in March 2024.

Similarly, on a sequential basis, it fell by 9.41% MoM in March compared to Rs103.6bn in February.

Moving forward, domestic liabilities of the government dropped by 14.62% YoY and were reported at Rs478.4bn in the review month.

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