ISLAMABAD: Pakistan’s combined circular debt in the power and gas sectors has surged to Rs5.1 trillion, according to disclosures made during a meeting of the National Assembly Standing Committee on Finance. Officials informed the committee that the total circular debt has significantly increased from Rs3.5 trillion recorded last year, highlighting growing financial pressures on the […]
circular debt
Pakistan invites bids for privatization of three DISCOs
The government has invited investors to submit bids for the privatization of three major electricity distribution companies as part of efforts to reform Pakistan power sector and reduce mounting circular debt. According to official documents, the government plans to sell 51 to 100 per cent shares in Faisalabad Electric Supply Company (FESCO), Gujranwala Electric Power […]
Pakistan’s circular debt in energy sector rises to Rs5.2 trillion
Pakistan’s circular debt in the energy sector has climbed to Rs5,206 billion, highlighting continued financial stress in the country’s power and gas systems, according to the latest figures cited in an International Monetary Fund (IMF) report. Read More: Power sector circular debt edges up despite payments The report shows that the total circular debt includes Rs3,442 […]
Power sector circular debt swells despite reduction agreements
The circular debt of Pakistan’s power sector has increased significantly during the current fiscal year, raising questions about the effectiveness of the government’s measures to control this crisis. According to official documents shared with Daily Times, the circular debt increased by Rs 224 billion during the first eight months of the fiscal year 2025-26 (July […]
Pakistan’s gas sector burdened by Rs3.28 trillion circular debt
ISLAMABAD: Pakistan’s gas sector is facing a financial crisis, with circular debt swelling to Rs3.283 trillion, lawmakers were informed during a briefing before the National Assembly’s Standing Committee on Petroleum. Parliamentarians warned that rising losses at state-run utilities could destabilise the system and ultimately burden consumers. Read More: Government plans to clear gas sector circular debt […]
IMF weighs Pakistan power tariff changes
The International Monetary Fund (IMF) said on Saturday it is in discussions with Pakistan authorities over proposed power tariff revisions, stressing that any changes should avoid placing additional burdens on middle- and lower-income households. Read More: A practical path to ending Pakistan’s IMF dependence In a statement to Reuters, the IMF said the talks would assess whether […]
FPCCI challenges power circular debt figures
The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has disputed the Power Division’s latest circular debt report, arguing that the figures reflect accounting adjustments rather than any real improvement in the efficiency or financial health of the power sector. Read More: Power sector circular debt edges up despite payments In an analysis shared with the National […]
Power sector circular debt edges up despite payments
ISLAMABAD: Pakistan’s power sector circular debt rose by Rs75 billion in the first half of the current fiscal year despite significant capital injections and large-scale commercial borrowing, highlighting persistent structural weaknesses in the energy system. Read More: Power Division denies Rs 224 billion circular debt spike reports Official data from the power division showed that circular debt […]
Power Sector 2025: How Transparency and Merit Are Delivering Real Change
For years, Pakistan’s power sector has been synonymous with circular debt, opaque deals, and consumer frustration. It functioned as a significant drain on the national exchequer, with losses and inefficiencies ultimately burdening the common citizen through higher tariffs and an unreliable supply. The year 2025, however, may be remembered as a turning point—a year […]
Government cites weather, fuel issues for recent power outages
ISLAMABAD: The government on Sunday acknowledged power outages across Pakistan over the past 8–10 days, attributing them to transmission constraints, fuel mismanagement, and adverse weather conditions. Speaking at a press conference, Power Minister Awais Leghari said fog, north-south transmission bottlenecks, extended maintenance at a nuclear plant, and fuel arrangement issues at the Sahiwal Coal Power […]