State Bank of Pakistan’s (SBP) annual report on public debt in 2025, issued on Thursday, revealed that the federal government’s domestic debt rose by 11 percent during 2025.
According to the SBP report, by December 2025, the government’s domestic debt had increased by 1.40 percent on a monthly basis and reached Rs55,363 billion.
In comparison, domestic debt stood at Rs49,883 billion in December 2024, reflecting an annual increase of Rs5,480 billion.
The data showed that domestic borrowing rose by Rs752 billion in just one month.
The State Bank’s report also pointed to a steady rise in external borrowing.
By December 2025, the government’s external debt had grown by 1 per cent on a monthly basis and 6 per cent annually, reaching Rs23,166 billion.
In December 2024, external debt stood at Rs21,764 billion, marking an increase of Rs1,402 billion over the year, while a month-on-month rise of Rs241 billion was recorded.
As a result of increases in both domestic and external liabilities, the government’s total debt reached Rs 78,529 billion by December 2025.
This represented a monthly increase of 1.30 per cent and an annual rise of 9.60 per cent, according to the central bank.
In comparison, total government debt stood at Rs71,647 billion in December 2024, indicating an overall increase of Rs6,882 billion over the year and Rs993 billion within a single month.
