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Federal Government’s Debt Reaches Highest Level in Pakistan’s History

Islamabad: The federal government’s debt has reached a new all-time high in the country’s history.

The State Bank of Pakistan has released data on the federal government’s debt up to May 2025.

According to the State Bank’s documents, during the first 11 months of the current fiscal year (from July 2024 to May 2025), the federal government’s debt increased by Rs. 7,131 billion, while between April and May 2025, the debt rose by Rs. 1,109 billion in just one month.

The documents also show that between June 2024 and May 2025, there was a total increase of Rs. 8,312 billion in the federal government’s debt.

By May 2025, the total volume of federal government debt stood at Rs. 76,045 billion, comprising Rs. 53,460 billion in domestic debt and Rs. 22,585 billion in external debt.

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