Govt acquires Rs387.54bn debt in a week

The federal government’s borrowing skyrocketed to Rs5.17 trillion for the fiscal year 2024, which is higher compared to previous years.

According to the central bank’s weekly estimates, the government incurred an additional debt of Rs387.54 billion during the week ended May 03, 2024.

Of the weekly net borrowing, Rs356.9 billion was for budgetary support, and Rs30.91 billion was for commodity operations. 

Additionally, Rs274.03 million was retired from the ‘others’ category during the week.

The cumulative borrowing for fiscal year 2024 stands at Rs5.42 trillion for budgetary support, with Rs252.66 billion retired from commodity operations and Rs2.91 billion retired from others.

The primary sources of financing for budgetary support are the State Bank of Pakistan and scheduled banks. 

This fiscal year, the government has repaid a net sum of Rs622.11 billion to the central bank, with the Federal Government retiring Rs239.47 billion, the Provincial Government Rs364.53 billion, the AJK Government Rs18.16 billion, and the GB Government borrowing Rs0.04 billion.

Scheduled banks have lent a net total of Rs6.04 trillion, with the Federal Government borrowing Rs6.2 trillion and the Provincial Government retiring Rs151.49 billion.