The Pakistan government retired Rs261.44 billion in debt during the week ended September 25, 2026. The latest figures take its total net retirement during fiscal year 2027 to Rs2.99 trillion.
The weekly estimates show a significant reduction in government borrowing across several financing categories. These include budgetary support, commodity operations and other borrowing requirements.
Government Retires Rs262 Billion in Budgetary Support Debt
The government’s largest weekly debt retirement came from budgetary support. It retired a net Rs262.13 billion under this category during the week.
Meanwhile, borrowing for commodity operations stood at Rs287 million during the same period. The government also borrowed Rs403 million under the category of other purposes.
Consequently, cumulative debt retirement during fiscal year 2027 reached Rs2.96 trillion for budgetary support. The government also recorded Rs29.67 billion in retirement under commodity operations.
In addition, the retirement under other purposes reached Rs0.3 billion during the fiscal year.
State Bank and Scheduled Banks Remain Key Financing Sources
The State Bank of Pakistan and scheduled banks remain the two major sources of budgetary support financing.
During the current fiscal year, the government has paid a net Rs62.21 billion to the central bank. This figure reflects different borrowing and repayment positions across federal and provincial governments.
The Federal Government retired Rs694.4 billion during the period. However, the Provincial Government borrowed Rs658.79 billion from the central bank.
Meanwhile, the Azad Jammu and Kashmir government retired Rs16.96 billion. The Gilgit-Baltistan government also retired Rs9.65 billion.
These transactions contributed to the overall net position recorded against the central bank during fiscal year 2027.
Government Retires Rs2.9 Trillion From Scheduled Banks
The government also recorded substantial debt retirement from scheduled banks during the fiscal year.
It retired a net Rs2.9 trillion from scheduled banks during the period under review. The Federal Government accounted for the largest share of this retirement.
According to the figures, the Federal Government retired Rs2.97 trillion from scheduled banks. At the same time, the Provincial Government borrowed Rs62.81 billion from these banks.
The contrasting positions of federal and provincial governments shaped the overall borrowing figures. However, the combined data shows a substantial net reduction in government debt from scheduled banks.
Overall, the government’s Rs261.44 billion weekly debt retirement pushed its fiscal year 2027 net retirement to Rs2.99 trillion.
Budgetary support accounted for most of the cumulative retirement, while commodity operations and other purposes contributed smaller amounts.
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