Islamabad :
Pakistan’s total public debt has fallen from PKR 80,518 billion (June 2025) to PKR 79,146 billion (September 2025) — a decline of over PKR 1,371 billion, Finance Division said on Monday.
– First quarterly decline in 69 months (since Dec 2019), marking a notable shift in debt dynamics.
– Largest quarterly reduction ever in both absolute value and percentage decline (QoQ).
– Result of disciplined fiscal management and strategic use of surplus funds for early retirement of costly debt.
– Helps lower future borrowing needs, reduce refinancing and rollover risks, and strengthen medium-term financial stability.
– Sends a signal of improving policy credibility and investor confidence.
– Over time, lower debt servicing can free fiscal space for development, social protection, and growth-enhancing priorities.
This is a meaningful step toward a more sustainable and responsible fiscal trajectory.
