Pakistan clears Rs162.87 billion debt

WEB DESK: The government of Pakistan has retired a substantial debt of Rs162.87 billion in the week ending February 16, 2024, as reported by the central bank’s weekly estimates. This brings the total net borrowing for the ongoing fiscal year 2024 to Rs2.58 trillion.

The government’s borrowing activities are classified into three primary categories: budgetary support, commodity operations, and other miscellaneous purposes.

Breaking down the figures for the week, a notable Rs142.74 billion was retired from budgetary support, Rs18.18 billion from commodity operations, and Rs1.95 billion from other sources.

Consequently, the cumulative borrowing for the current fiscal year now stands at Rs2.87 trillion for budgetary support, Rs283.49 billion for the retirement of commodity operations, and Rs0.85 billion for miscellaneous purposes.

Two significant sources have contributed to financing budgetary support: the State Bank of Pakistan and the Scheduled Banks.

Notably, the government has repaid a substantial net sum of Rs1 trillion to the central bank during this fiscal year.

Of this, the Federal Government accounted for Rs862.17 billion, while the Provincial Government, AJK Government, and GB Government retired Rs116.58 billion, Rs18.34 billion, and Rs3.89 billion, respectively.

Conversely, the scheduled banks have extended a net total of Rs3.87 trillion, with the federal government borrowing Rs4.05 trillion and the provincial government retiring Rs182.38 billion during the fiscal year.

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