The State Bank of Pakistan reported that the total central government debt rose by 0.7% from January 2026, indicating a persistent trend of increasing financial obligations. Domestic debt has seen a notable increase of 11.09% year-on-year, with long-term debt reaching PKR 47.48 trillion and short-term debt climbing to PKR 9.13 trillion. This continuous borrowing is primarily aimed at financing the fiscal deficit, which raises concerns about the sustainability of Pakistan's economic policies.
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Pakistan Central Government Debt Surges to PKR 79.88 Trillion
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As of February 2026, Pakistan's central government debt has surged to PKR 79.88 trillion, reflecting a 9.37% year-on-year increase, driven by ongoing borrowing pressures. The significant rise in domestic debt, which now stands at PKR 56.68 trillion, signals a critical fiscal situation for the country.
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