Pakistan’s per capita debt rises to Rs325,000 as total public debt reaches Rs81.4 trillion

Pakistan’s per capita debt has reached approximately Rs325,000 as total public debt increased by 1.1% during the first half of FY26 to Rs81,374 billion ($290.6 billion), according to the Finance Division.

The debt stock comprises 68% domestic and 32% external liabilities. Domestic debt increased by 1.6% to Rs55,363 billion, while external debt rose by 1.2% to $92.87 billion during the period.

Officials said domestic borrowing continued to rely mainly on Pakistan Investment Bonds, followed by Market Treasury Bills and Government Ijarah Sukuk. Shariah-compliant instruments recorded the highest growth, with Ijarah Sukuk rising 13% during the period.

The stock of Pakistan Investment Bonds and Treasury Bills declined marginally due to contained borrowing and increased reliance on Sukuk instruments. The maturity profile of domestic debt improved slightly, with a reduction in short-term debt and an increase in the average time to maturity to 3.99 years by December 2025.

Separately, officials informed a Senate committee that external debt exceeded Rs21 trillion, while the rise in overall debt was linked to fiscal deficits driven by expenditures exceeding revenues, with oil imports cited as a contributing factor.

The committee was also told that while domestic debt is regularly serviced, it is often refinanced through additional borrowing. Lawmakers raised concerns over the continued increase in national debt and called for measures to improve fiscal management.