Maps
Magazine

POLITICS & POLICY MAKING

Pakistan Achieves Rs 1.371 Trillion Reduction in Public Debt, Signals Fiscal Stability
Advisor Khurrum Shehzad announces Pakistan’s public debt drops to Rs 79.14 trillion, marking the first quarterly reduction of this scale in 69 months.
MH
by Muhammad Hashir
2025-11-17
Pakistan Achieves Rs 1.371 Trillion Reduction in Public Debt, Signals Fiscal Stability

Pakistan’s public debt has decreased by Rs 1.371 trillion during the current fiscal year, marking a historic quarterly reduction not seen in the last 69 months, according to Advisor to the Finance Minister Khurrum Shehzad.

In a post on X, Shehzad revealed that Pakistan’s public debt, which stood at Rs 80.518 trillion at the end of June 2025, fell to Rs 79.14 trillion by September 2025. This Rs 1.378 trillion decline in just one quarter is attributed to sound fiscal discipline, strategic use of surplus funds, and early repayment of high-cost debt.

“This is the first time since December 2019 that such a significant reduction in public debt has been observed in any quarter,” Shehzad stated. He added that this development will reduce future borrowing requirements, limit refinancing and rollovers, and strengthen medium-term fiscal stability.

The debt reduction is expected to boost investor confidence and create room for development initiatives, social protection programs, and prioritization of economic growth. Shehzad emphasized that sustainable debt management will contribute to responsible fiscal growth over time.

The announcement reflects the government’s ongoing efforts to stabilize Pakistan’s economy amid global and domestic financial challenges.
Tagged:

PakistanEconomy

PublicDebt

FiscalDiscipline

DebtReduction
Share News: