Karachi: Pakistan recently increased its debt burden by raising an additional $387.54 billion during the week ending May 3, 2024.
The flow raised total net borrowing to $5.17 trillion for fiscal year 2024, according to the central bank’s weekly estimate.
In particular, government borrowing for this financial year is consistently higher than previous years, indicating that debt obligations are clearly tied to financial obligations.
Public sector loans are divided into three main segments based on the purpose of the loan: budget support, commodity operations, and others.
During the indicated week, weekly net borrowing for budget support reached $356.9 billion, while borrowing for commodity operations reached $30.91 billion.
Meanwhile, a total of $274.03 million was retired from the “other” category during that period.
The cumulative fiscal year 2024 debt is $5.42 trillion for budget support, $252.66 billion from Operating Goods, and $2.91 billion from other categories.
Importantly, the State Bank of Pakistan and Scheduled Banks emerged as major sources of budget support financing, demonstrating their central role in supporting government operations amid financial distress.
Pakistan’s fiscal borrowings surge by Rs387.54 billion
