The SBP has released new data on Pakistan’s national debt. It shows that the total, domestic and external, debt of the federal government is now more than Rs. 80,500 billion. This increase is driven by an 11.7% surge in local borrowing.
The State Bank of Pakistan (SBP) has released its latest debt statistics. It reveals that the country’s total debt burden has officially crossed the massive Rs 80,000 billion threshold.
According to the central bank, the federal government’s total debt reached Rs 80,524 billion in March 2026. This is a 9.3% increase compared to March last year, when the debt was at Rs 73,688 billion.
Because of this massive jump, the official data presented to the National Assembly shows that the average debt burden on every single Pakistani, including newborn babies, has now reached around Rs 350,000 per person.
Local Loans Driving the Increase
The main reason for this huge increase is that the government is borrowing heavily from inside the country. The central bank’s report shows that domestic debt jumped by 11.7% in one year. It reached Rs 57,566 billion in March 2026. Meanwhile, foreign or external debt went up by 3.6% over the year to stand at Rs 22,959 billion.
Constant Pressure on the Economy
Economic updates show that there is a slight drop in foreign debt, which gives brief breathing room. The overall financial situation of Pakistan remains under heavy pressure. The government is facing tight budgets. The situation worsened, especially after paying back a Rs 3.45 billion deposit to the United Arab Emirates (UAE).
Recent multi billion dollar loan extensions from Saudi Arabia and ongoing reforms with the IMF are helping in keeping the country’s foreign exchange reserves stable. However, the massive amount of local borrowing shows how the government is struggling to manage the domestic budget.
