The government is set to borrow Rs5.75 trillion from banks through treasury bills and bonds in the April-June quarter to finance its budget deficit and repay loans. This amount is lower than the Rs6.75 trillion initially planned for the period between March and May.
According to the auction calendar issued by the State Bank of Pakistan (SBP), the government intends to raise Rs3.65 trillion through Market Treasury Bills (T-bills) with maturities ranging from one to 12 months.Â
Additionally, it aims to borrow Rs2.1 trillion by selling fixed and floating-rate Pakistan Investment Bonds (PIBs) with maturities spanning two to 15 years.
The maturity amount for T-bills during the quarter is estimated at Rs3.913 trillion. The government’s reliance on bank borrowing has grown as it struggles with low tax revenues and weak financial inflows.Â
The Federal Board of Revenue (FBR) collected Rs1,120 billion in March, falling short of the Rs1,220 billion target by Rs100 billion. For the July-March period of FY25, the FBR’s total collection reached Rs8,464 billion, which is Rs703 billion below the target of Rs9,167 billion.
