The Federation of Pakistan Chambers of Commerce and Industry has released a set of four independent “shadow” policy reports proposing a major overhaul of Pakistan’s economic direction aimed at faster growth and fiscal stability. The documents outline an alternative framework focused on expanding exports, improving tax collection, and reducing fiscal pressure on the state. Business […]
fiscal deficit
Pakistan’s government debt rises to Rs78.5 trillion by December 2025
KARACHI: Pakistan’s government debt increased by Rs641 billion, or 0.82%, by the end of December 2025, reflecting ongoing borrowing needs and challenges to fiscal consolidation, according to data released by the State Bank of Pakistan (SBP). Total government debt reached Rs78.5 trillion, up from Rs77.8 trillion in June. The debt stock rose 1.3% month-on-month and […]
Government borrowing pattern reverses in first half of FY26
The federal government borrowing from banks has reversed course in the first half of fiscal year 2026 (FY26) , with Rs672 billion raised so far, compared to net debt retirement during the same period last year, according to data released by the State Bank of Pakistan (SBP). Read More: Big push for affordable housing: Rs5 […]
Govt mulls Rs300bn cut in PSDP
ISLAMABAD – The federal government is reportedly considering a Rs300 billion reduction in the Public Sector Development Programme (PSDP) for the current fiscal year, slashing the national development budget by nearly 30 percent, from Rs1,000 billion to Rs700 billion. Sources in the Planning Commission revealed that the proposed cut is being weighed due to lower-than-expected revenue […]
Pakistan’s total debt quadruples in a decade
Pakistan’s total debt has surged fourfold over the past ten years, according to an official report by the Ministry of Finance. The report reveals that the country’s debt-to-GDP ratio climbed from 60% in 2016 to 71% in 2025. In the current fiscal year, 89% of the federal government’s net income was spent on debt servicing, […]
IMF Report Shows Gradual Decline in Pakistan’s Debt-to-GDP Ratio
ISLAMABAD – Pakistan’s debt-to-GDP ratio has started to decline gradually, according to the International Monetary Fund’s (IMF) Fiscal Monitor Report 2025, signaling cautious optimism for the country’s long-term fiscal stability despite persistent budget deficit concerns. The IMF’s latest report, which provides detailed insights into fiscal deficits, revenues, expenditures, and public debt trends, projects that Pakistan’s […]
Fiscal deficit contained at 3.6pc of GDP in 9MFY21
The country’s fiscal deficit has clocked in at 3.6pc of GDP (or Rs1,652billion) in 9MFY21 as compared to 3.8pc of GDP (or Rs1,686billion) in 9MFY20. It translates into a decrease of 2pc YoY during 9MFY21. While the overall deficit remained in check, the government has also managed to record a surplus in primary balance at […]