Pakistan’s central government debt has risen to nearly Rs 80 trillion, reaching Rs 79.8 trillion in February 2026, according to data released by the State Bank of Pakistan (SBP).
This marks a 0.7% increase from the previous month and a significant 9.4% rise compared to February 2025, when the debt stood at Rs 73.036 trillion.
Of the total debt, domestic debt accounts for Rs 56.6 trillion, which grew by 1.2% month-on-month and 11.1% year-on-year. Long-term domestic debt increased to Rs 47.481 trillion, while short-term debt rose to Rs 9.132 trillion.
External debt stood at US$ 83.0 billion. It showed a slight decline from January 2026 but remains higher than June 2025 levels.
The continuous rise in debt is mainly driven by heavy government borrowing to meet fiscal needs, pay interest on previous loans, and cover budget deficits. High interest payments have added significant pressure on the country’s finances.
Economists warn that the growing debt burden could increase future repayment challenges and limit space for development spending. However, the government believes that better economic growth and higher tax collection will help manage the debt in the long run.
The latest figures highlight the urgent need for fiscal discipline and structural reforms to control borrowing and achieve sustainable economic stability.